Gulf Oil Lubricants India, part of the Hinduja Group has reported its financial results for Q2 FY2024 and H1 FY2024.
For Q2 the revenue came at Rs 802.30 crore, up 11.51% YoY and net profit of Rs 73.63 crore, as against Rs. 52.14 crore a year ago. In H1 FY2024, the revenue was Rs 1614.01 crore up 13.19% YoY and net profit of Rs 141.93 crore, up 32.06% YoY.
The company says that despite a seasonally subdued quarter due to monsoons, OEM Franchise Workshops (FWS), B2B and Infra segments clocked double-digit volume growths. Retail volumes also showed better growth with agri and motorcycle products coming back stronger. The quarter witnessed reasonably stable input costs, which helped garner better material margins and a better product mix across segments. This enabled the company to further sequential improvement in margins leading to Gulf Oil crossing the Rs 100 crore EBITDA mark in a single quarter for the first time.
During Q2 FY2024, AdBlue sales continued to thrive with strong growth for both OEMs and consumers. It attributes the growth to strategic initiatives like the Intermediate Bulk Container (IBC) drive, increased capacity, grassroots engagement, and adaptable strategies.
It has also added over 2,400 retail touch points including new Gulf Bike Stops and Gulf Car Stops during the quarter.
Ravi Chawla, MD & CEO, Gulf Oil Lubricants India said, “A double digit revenue growth and double-digit volume growth in most segments, the company is confidently on track to continue its ‘ahead of industry’ performance and gain market shares. Our brand investments to enhance brand visibility through promotions and increase usage through distribution for consumers and partners continued in the quarter as well.”
“Our strategy to continue to focus on distribution growth in retail will augur well for the segment over coming quarters/years. The recent developments in geo-political situations in Middle East along with the ongoing Russia-Ukraine war will continue to require close margin management focus going forward as well. Our robust cash generations enable us to look for opportunities in the emerging fields of EVs and other adjacencies and exploring areas where Gulf can play a key role basis synergy with our current strengths and future strategies,” concluded Chawla.
