Castrol India

The company ended its Q4 with a 37% sequential rise in net profit at Rs.118 crore and YoY, it was up 10%. But the company ended the year with a net profit at Rs.447 crore, down 7%. A higher operating expense pushed the bottomline down. Q3 was bad due to high base price of crude and falling volumes due to high price hikes.

This is a blue-chip company and remains so. It’s a consistently dividend paying company and its debt is negligible. 80% of its sales comes from the automotive sector and balance from non-automotive which is industrial lubricants. And good numbers from the two-wheeler segment in the December quarter have reflected on the numbers of Castrol. The parent company holds 70.92% stake in the company; LIC holds 3.43% stake. The company has declared a 1:1 bonus in 2011 and post that, its equity now stands increased at Rs.494.60 crore and reserves stands reduced at Rs.155 crore. Cash and cash equivalents stood at Rs.575 crore.