Castrol India (500870) Q2 2026 earnings summary

Executive summary

• Achieved strong broad-based growth across consumer, industrial, and institutional segments, with Q2 2026 revenue up 25% to ₹1,871 crore, EBITDA up 41% to ₹494 crore, and PAT up 43% to ₹348 crore, despite a volatile environment with supply disruptions and commodity cost inflation.

• Maintained uninterrupted customer supplies through resilient supply chain and disciplined inventory planning, supporting growth across all business segments.

• Expanded distribution reach, especially in rural markets, with a network of 160,000 outlets and 45,000 rural outlets, and strengthened service ecosystem with a growing network of workshops.

• Continued investment in brand, innovation, and operational excellence, including new synthetic product launches, localization of industrial solutions, and major brand engagement campaigns.

• Interim dividend of ₹6.25 per share declared, to be paid by 2 September 2026, reflecting strong cash generation and accelerated shareholder returns.

Financial highlights

• Q2 2026 revenue from operations: ₹1,871 crore, up 25% year-on-year and 21% sequentially; EBITDA: ₹494 crore, up 41% year-on-year and sequentially; EBITDA margin 26.4%; PAT: ₹348 crore, up 43% year-on-year and 44% sequentially.

• H1 2026 revenue: ₹3,417 crore, up 17% year-on-year; EBITDA: ₹823 crore, up 25%; PAT: ₹590 crore, up 24%.

• EPS for Q2 2026: ₹3.51; for H1 2026: ₹5.96.

• Cash and cash equivalents at 30 June 2026: ₹492.28 crore, up from ₹426.62 crore at year-end 2025.

• Interim dividend of ₹6.25 per share declared.

Outlook and guidance

• Anticipates more visible impact of commodity and feedstock inflation in Q3 2026 and remains cautious due to inflationary pressures, uneven monsoon, and commodity volatility.

• Focused on disciplined execution, cost management, and sustained investment in competitiveness, including brands, distribution expansion, and customer relationships.