CASTROL INDIA Announces Quarterly Results (2QFY21); Net Profit Up 8.6%

Thu, 29 Oct

CASTROL INDIA has announced its results for the quarter ended September 2020. Here is a detailed performance review of the same:

CASTROL INDIA Quarterly Financials

No. of Mths Qtr. Ending		3 Sep-19*	3 Jun-20*	3 Sep-20*	QoQ Change	YoY Change
Net Sales	Rs m	8,492	4,906	8,831	80.0%	4.0%
Other income	Rs m	116	152	117	-23.0%	0.9%
Turnover	Rs m	8,608	5,058	8,948	76.9%	3.9%
Expenses	Rs m	6,047	3,953	5,949	50.5%	-1.6%
Gross profit	Rs m	2,445	953	2,882	202.4%	17.9%
Depreciation	Rs m	186	206	215	4.4%	15.6%
Interest	Rs m	3	14	9	-35.7%	200.0%
Profit before tax	Rs m	2,372	885	2,775	213.6%	17.0%
Tax	Rs m	488	231	729	215.6%	49.4%
Profit after tax	Rs m	1,884	654	2,046	212.8%	8.6%
Gross profit margin	%	28.8	19.4	32.6
Effective tax rate	%	20.6	26.1	26.3
Net profit margin	%	21.9	12.9	22.9

Year-on-Year Performance:

• The company's operating income during the quarter grew 4.0% on a year-on-year (YoY) basis. The expenses were down by 1.6% YoY during the same period.
• The company's operating profit increased by 17.9% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 32.6% in 2QFY21 as against 28.8% in 2QFY20.
• Depreciation charges increased by 15.6% and finance costs increased by 200.0% YoY, respectively.
• Other income increased by 0.9% YoY during the quarter.
• Net profit for the quarter increased by 8.6% YoY. Net profit margins during the quarter increased from 21.9% in 2QFY20 to 22.9% in 2QFY21.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 80.0% on a quarter-on-quarter (QoQ) basis. The expenses were up by 50.5% QoQ during the same period.
• The company's operating profit increased by 202.4% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 32.6% in 2QFY21 as against 19.4% in 1QFY20.
• Net profit for the quarter increased by 212.8% QoQ, while net profit margins increased from 12.9% in 1QFY20 to 22.9% in 2QFY21.

To see how CASTROL INDIA has performed over the last eight quarters,please visit here.

Get Details: First Stock to Potentially Accumulate Rs 7 Crore Long-term Wealth

CASTROL INDIA Share Price Performance

Over the last one year, CASTROL INDIA share price has moved down from Rs 150.7 to Rs 115.0, registering a Loss of Rs 35.8 or around 23.7%.

Meanwhile, the S&P BSE OIL & GAS Index is trading at Rs 11,846.5 (down 0.7%). Over the last one year it has moved down from 15,439.5 to 11,846.5, a gain of 3,593 points (down 23.3%).

Overall, the S&P BSE SENSEX is up 1.4% over the year.

Current Valuations

At the current price of Rs 115.0, the price to earnings (P/E) ratio of CASTROL INDIA stands at 17.1 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 9.8 times.