Gulf Oil Lubricants Q2FY25 PAT rises 15%, revenue rises 5.86%

Gulf Oil Lubricants India Ltd, a Hinduja Group Company recorded a 14.68% increase in profit after tax for Q2FY25 at ₹84.44 crore. It saw a 5.86% increase in Q2 revenue to ₹849.33 crore, compared to ₹802.30 crore in the same quarter last year. Its EBITDA rose 6.64% to ₹107.15 crore, maintaining a EBITDA margin of 12.62%.

For the first half of FY25, the company's revenue increased by 7.46% to ₹1,734.40 crore, while profit after tax grew by 21.52% to ₹172.46 crore. H1FY25 EBITDA stood at ₹223.40 crore, showing a growth of 15.59% compared to the previous year, with margins improving by 91 basis points to 12.88%.

The company reported volume growth in Q2, particularly in its B2C channel and B2B industrial and infrastructure segments. The motorcycle oils and agricultural retail segments showed strong performance, while exports also contributed significantly to growth. However, AdBlue® volumes decreased due to seasonal factors and slower demand.

Gulf Oil's subsidiary Tirex, in which it holds a 51% stake, showed strong performance in H1 FY25, with significant growth in top-line revenue. The company maintained its EBITDA margin within the projected range of 12-14% despite increased marketing investments.

During the quarter, the company launched a new brand campaign called "The Unstoppables" featuring brand ambassadors MS Dhoni, Hardik Pandya, and Smriti Mandhana. The campaign was distributed across multiple media platforms including television, print, cinema, and digital channels.

The company also continued its Gulf Superfleet Surakshabandhan initiative, providing portable water filters to truck drivers. The program has distributed 16,000 water filters and established community water filters at various transport locations to help drivers access clean drinking water.

Managing Director & CEO Ravi Chawla noted that despite early quarter challenges from heavy rains, demand remained stable. CFO Manish Gangwal highlighted the company's focus on margin sustainability and working capital management, while noting positive progress in mobility initiatives.