We had covered the annual results of Castrol India Ltd. (CIL), which were declared on February 1, 2002. However, results were excluding amalgamation effect of Tata BP Lubricants India Ltd. With the Bombay High Court approving the scheme of amalgamation, effective from January 1, 2001, the company has presented the amalgamated result for FY02.
Operating Profit (EBDIT)
Operating Profit Margin (%)
Profit before Tax
Profit after Tax/(Loss)
Net profit margin (%)
No. of Shares
Diluted Earnings per share
View stand-alone result. Tata BP Lubricants India Ltd. had accumulated losses of Rs 87.7 m at the start of FY02, which have been adjusted against reserves of CIL. Income and expenditure for year-ended December '01 are reflected in the amalgamated income statement. Tata BP incurred losses of Rs 120.1 m in FY02, which was largely due to brand-building initiatives.
Tata BP India Lubricants Ltd., was a joint venture between Telco and BP Amoco (British Petroleum). With BP Amoco acquiring Burmah Castrol U.K, the lubricants operation of BP in India were in conflict. Consequently, BP Amoco is likely to have terminated the JV, which could have resulted in CIL acquiring the operations of Tata BP. As per latest reports, Telco is likely to be discussion with BPCL for launching a lubricant, which could be marketed through the latter's retail outlets.
At Rs 189 the scrip is trading on a multiple of 21.6x FY02 amalgamated earnings. Net profits, post amalgamation, is lower by 73 m while losses of Tata BP were Rs 120.1 bn. In our annual result report, we indicated that a pick-up in passenger vehicle sales could offer reprieve to the slow-moving lubricants market. Reports suggest that growth in lubricants has picked-up and is likely in double digits.
Castrol India Ltd has announced results for the second quarter of the current year ended December 2016. The company has reported a year on year (YoY) growth of 5.2% in the net sales while net profits for the quarter grew 12.1% YoY during the quarter.
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