GS Caltex Profits Dip, Castrol India’s Rise

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GS Caltex Profits Dip, Castrol India’s Rise

GS Caltex’s base oil and lubricant business reported lower profit on higher sales, while Castrol India reported increases in net profit and revenue from operations for the quarter ending March 31.

GS Caltex

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GS Caltex reported operating profit of 71.1 billion South Korean won (U.S. $55.1 million) for its base oil and lubricant business in the first quarter, a 34% drop from ₩125.1 billion for the same period of 2021. Revenue for the quarter rose 27% to ₩454.6 billion.

The 50-50 joint venture of GS and Chevron has capacity to produce 1.3 million metric tons per year of API Group II and Group III base oil at its plant in Yeosu and 9,000 b/d of finished lubricants at its blending plant in Incheon.

Castrol India

Castrol India, based in Mumbai, reported net profit of Rs 228.4 crore (Rs 2.3 billion or $29.7 million) for the first quarter, a 6% increase from Rs 243.6 crore in the same period last year.

Revenue from operations rose 9% to Rs 1,235.7 crore, improving from Rs 1,138.7 crore.

Sandeep Sangwan, the company’s managing director, noted in its earnings press release that despite a brief impact from the third wave of COVID-19 in India in January, business operations resumed normalcy, and the first quarter brought a resurgence in demand.

“While inflationary and supply side pressures continued to be high, Castrol India was able to serve its customers’ needs by leveraging its strong distribution network and supplier relationships,” Sangwan said.

Key first-quarter highlights included expansion of its Castrol Auto Service network to 116-multi-brand passenger car workshops in more than 50 cities across India and an expanded presence of its Castrol Express Oil Change outlets in Jio-bp mobility stations across the country, bringing the total count to 38. The outlets offer two-wheeler consumers oil changes on the go.

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