Total expenses increased 7.34% to Rs 1,047.30 crore in the quarter ended June 2023 as compared with Rs 975.65 crore reported in same quarter last year. Cost of raw and packing materials consumed was at Rs 633.86 crore (up 11.81% YoY), finance cost stood at Rs 1.47 crore (up 200% YoY).

Castrol's profit after tax shed 1.59% to Rs 427.77 crore despite of 6.06% rise in revenue from operations to Rs 2,627.65 crore in the half year ended 30 June 2023 as against the half year ended 30 June 2022.

Sandeep Sangwan, managing director, Castrol India, said, “During the last quarter, we focused on achieving growth through increased volume. Despite challenges, we flourished, showcasing resilience and innovation in products and services. We expanded our portfolio by entering the auto care range and launching successful new products like Castrol CRB ESSENTIAL and MAGNATEC SUV 5W30. Alliances with organisations such as Mahindra Insurance Broker Limited strengthened our market position. Our success is attributed to a robust supply chain and customer-centric services.”

Sharing an outlook for the year ahead, Sandeep Sangwan added, “Despite anticipated challenges in the business environment, we will remain focused on achieving growth and expanding market share. This involves introducing new products and investing in strengthening our brand. By the end of the first half, we've already established a network of over 5500 Castrol bike points and 350 Castrol auto service outlets. In the second half, we aim to reinforce our position in the aftersales service market, committed to enhancing our presence and providing exceptional service to our valued customers.”

Meanwhile, the board of directors declared an interim dividend of Rs 3 per equity share for the financial year ending 31 December 2023. The record date for the same shall be Tuesday, 8 August 2023. The dividend will be paid to such shareholders on or before Wednesday, 30 August 2023.

Castrol India is one of India's leading lubricant companies with brands such as Castrol CRB, Castrol GTX, Castrol Activ, Castrol MAGNATEC and Castrol VECTON. The company also operates in select segments like high performance lubricants and metalworking fluids used in a wide variety of industries such as automotive manufacturing, mining, machinery, and wind energy. Castrol has a large manufacturing and distribution network in India with three blending plants and a distribution network of 350 distributors.

The scrip declined 1.90% to Rs 144.70 on the BSE.