Castrol India reports 32% decline in Q1 PAT

The revenue from operations in the quarter ended March stood at Rs688cr in comparison to Rs976cr in Q1FY19.

Jun 15, 2020 03:06 IST India Infoline News Service

Castrol India Limited stock fell by 3.3% after the company in its financial results on Friday reported a decline over 32% in Profit After Tax at Rs125.2cr in Q1FY20 vs. Rs185cr reported in the corresponding quarter previous year.

Interestingly the company’s PAT stood at Rs271.3cr in the quarter ended December 2020 but seemingly was affected badly in Q1FY20 due to Covid-19 pandemic.

Profit before tax also fell 41.1% yoy to Rs169.50 cr in Q1FY20 from Rs287.60cr in Q1FY19.

The revenue from operations in the quarter ended March stood at Rs688cr in comparison to Rs976cr in Q1FY19.

Sandeep Sangwan, Managing Director, Castrol India Limited, said: “The first quarter of 2020 has been unprecedented with an overall slowdown in the economy, liquidity crunch as well as the break-out of the global Covid-19 pandemic. As a result of which, the overall lubricant industry in the country has been hit by severe demand and supply disruptions.

We renewed our long-term partnership with JCB, the largest off-road vehicle manufacturer in India. Readying ourselves for a low carbon future, we entered into agreements for EV fluids with OEMs in India including MG Motors and Tata Motors, as well as to supply lubricants to various OEMs for their BS-VI compliant vehicles.”

Castrol India Ltd trade ended at Rs118.20 down by Rs3.7 or 3.04% from its  previous closing of Rs121.90 on the BSE.

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