Q1-FY26 · Kedar Lele
We do about a little over 10% of the volume of global Castrol and a little better than that in terms of profitability.
Castrol India · tone and specificity signals across the available quarters.
Language signals
We do about a little over 10% of the volume of global Castrol and a little better than that in terms of profitability.
I want to operate between a guiding range of 21 to 24 and we are at the upper end of that guiding range at the moment.
Our products are capable of handling E20, E30 and that description does come on the packs.
We have taken two pricing actions between January and June in the low double-digit. The pricing actions we've implemented have been sufficient to offset the raw material increase that comes from quarter two and we expect some of that raw material increase also to sustain over into quarter three.
We are guided by a history of about a decade when we have taken these kind of pricing actions in a very volatile environment and generally the business comes back to a 21 to 24% [EBITDA margin] and we also continue with a certain volume.
We pride ourselves on a very lean inventory profile. So we do turn our inventory fast... We are already planning for the inventory that we will use in Q3 to be that which has been bought in the end of towards the end of second quarter.
If automotive lubricant gross margin is 100 index, then lubricants in industrial will be less than 25-30.
We are looking at transforming Castrol from a lubricant provider to a full service and maintenance company.
Our cost per liter of lubricant has gone down by about 5%.
We had our eighth straight quarter of volume-led growth, closed the year with the highest ever revenue and gained market share in our core automotive lubricants business.
Our industrial portfolio and our rural distribution delivered double-digit growth yet again, validating the choices we made over the last few years.
We have given our guidance as operating margin in the range of 21 to 24%. As we close the financial year 25, we actually closed it right at the top of range, almost at the 24% mark.