CASTROLIND
Small CapCastrol India Limited
Power
Castrol India Limited is a lubricant company with 115+ years in India, operating 3 plants and a tech center. It boasts ~150K retail and ~43K rural outlets, claiming #1 market share across automotive categories, selling 8 litres/second in India.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Investable fundamentals, management trust is supportive, price trend is neutral, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Average · 32/100margin compression · Rev +9% YoY · PAT +4% YoY · +7% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,545 Cr | +8.7% | +7.3% |
| EBITDA | ₹329 Cr | +7.2% | -10.6% |
| Operating margin | 21.0% | -100 bps | -500 bps |
| PAT | ₹242 Cr | +3.9% | -1.2% |
| PAT margin | 15.7% | -73 bps | -135 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
Castrol India reported robust 1Q CY26 results with Revenue from Operations up 8.6% YoY to INR 1545 Cr, driven by >8% volume growth. EBITDA increased 7.2% YoY to INR 329 Cr, and PAT grew 3.9% YoY to INR 242 Cr, indicating steady performance.
The company's thesis remains intact, supported by strong volume-led revenue and profit growth in 1Q CY26. Strategic focus on distribution expansion, product innovation, and digital engagement, particularly in rural and industrial segments, positions it for continued growth despite the ongoing stake sale process.
Personal Mobility Growth
Growth in passenger vehicle sales driven by SUV adoption and increasing pre-owned car consumption; rural contributes to two-wheeler sales.
Commercial Vehicle Demand
India’s infrastructure buildout is strengthening long-term demand drivers for commercial vehicles and freight movement.
Industrial Sector Expansion
Expansion of India’s manufacturing sector is driving industrial demand growth.
Diversified Portfolio
Expanding into Autocare range, services, EV-ready fluids, and data centre cooling solutions.
Technology Centre
State-of-the-art technology centre inaugurated at Patalganga in 2024.
Urban & Rurban Vehicle Sales
Growth in passenger vehicle sales driven by rising SUV adoption in urban markets and increasing pre-owned car consumption in rurban markets.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The investor presentation explicitly compares 1Q CY26 results against prior 1Q CY periods, indicating that year-over-year comparison is the primary basis for assessing quarterly performance, which is typical for businesses with potential seasonality.
Volume Sold Growth
Average growth in volume sold was >8% vs 1Q 2025.
Revenue from Operations
Revenue from operations stood at INR 1545 Cr in 1Q CY26.
EBITDA
EBITDA was INR 329 Cr in 1Q CY26.
PAT
PAT reached INR 242 Cr in 1Q CY26.
Stake Sale Update
bp announced sale of ~65% stake in Castrol to Stonepeak; transaction is underway, updates to be communicated.
Growth Plan Execution
Castrol India remains in the middle of execution of our growth plan.
Distribution Expansion Target
Best-in-class distribution, now targeting the next 50K outlets.
Digital Engagement Leverage
7L mechanics to drive trials at scale using our digital stacks.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Volume Growth | >8% vs 1Q 2025 | Sustained volume growth across Consumer, OEM & Fleet, and Industrial segments. |
| Distribution Network Expansion | ~150K outlets, including 43K rural outlets. | Progress towards the stated target of adding the next 50K outlets. |
| Digital Engagement Metrics | FastScan records 1.5 lakh+ scans/day. | Continued growth in mechanic network engagement and digital platform usage. |
| Stake Sale Finalization | bp's ~65% stake sale to Stonepeak is underway. | Completion of the transaction and any potential strategic or operational impacts. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
46NeutralSMA20 -1.8% / mo
Technical chart
CASTROLINDdaily · 3Y-4.7%Technical trend read
Bearish setupTrend is weak — long-term trend unclear. RSI 46.
- SMA20 roughly flat — short-term momentum stalled.
- RSI(14) at 46 — falling, no extreme reading.
- MACD below signal, histogram expanding negatively — bearish momentum building.
- 10% off 52W high · 7% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
UNDERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- FCF yield is supportive at 7.1%.
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 52.5%.
Main drags
- Valuation is weaker at 11/30; verify the latest quarterly trend.
- Growth is weaker at 11/25; verify the latest quarterly trend.
- Balance sheet is weaker at 12/15; verify the latest quarterly trend.
Execution business valuation: EV/EBITDA plus order and working-capital risk
Capital-intensive execution stories need cash-flow and balance-sheet checks alongside valuation.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
High Trust: Claim history is still being built. It ranks around the 100th percentile of the scored universe and 99th percentile within Power. No major sub-score weakness stands out.
High Trust Lite: Promoter pledge is zero.
Management behaviour ranks as unusually reliable. Still verify valuation and cycle risk.
overall median 67 · Power: 99th pctile, median 67 · Small: 100th pctile, median 65
81 documents indexed, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
High Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸FCF yield is 7.1%.
- ▸12 years of positive FCF.
- ▸Debt/equity is 0.03.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 18.60
- P/B
- 9.53
- EV/EBITDA
- 12.34
- Market Cap
- 18109.00Cr
Profitability
- ROE
- 45.90%
- ROCE
- 60.30%
- ROA
- 28.25%
- Dividend Y
- 4.78%
Growth (CAGR)
- Revenue 5Y
- 14.00%
- EPS 5Y
- 10.00%
- Revenue 3Y
- 6.00%
- EPS 3Y
- 6.00%
Balance Sheet
- Debt/Equity
- 0.03
- Interest Coverage
- 152.11×
- Altman Z
- 9.83
- Book Value
- 19.20
Cash Flow
- FCF Yield
- 7.12%
- FCF Positive Y
- 12/5
- OCF
- 1090.00 Cr
- EPS TTM
- 9.69
Shareholding
- Promoter Hold
- 51.00%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 21%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Power — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.