Castrol India Limited has announced its financial results for the third quarter, revealing a 10% year-over-year (YoY) drop in net profit, which settled at ₹245 crore. Despite this dip in net profit, the company's board has recommended a final dividend of ₹5.25 per share.

The company's filings on Tuesday, February 3, 2026, detailed the financial results. While net profit experienced a decrease, Castrol India reported record revenue for the fiscal year 2025 (FY25), with revenue from operations growing by 7% to ₹5,722 crore. The Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) also saw a rise of 5% to ₹1,348 crore, primarily driven by an 8% increase in volume.

In addition to the full-year performance, Castrol India demonstrated strong results in the fourth quarter of 2025. Revenue from operations reached ₹1,440 crore, marking a 6% increase compared to the previous year and the highest revenue in the last 20 years. The EBITDA for the fourth quarter stood at ₹368 crore, representing a 14% sequential increase.

The Board of Directors has recommended a final dividend of ₹5.25 per share (with a face value of ₹5 each) for the financial year that concluded on December 31, 2025. This dividend is subject to the approval of shareholders during the 48th Annual General Meeting. Including this final dividend, the total dividend for FY25 amounts to ₹8.75 per share.

Throughout the year, Castrol India focused on several strategic initiatives, including launching and localizing approximately 20 products across its automotive, industrial, and specialty segments. The company also expanded its Auto Care portfolio, offering mechanic care solutions, and implemented brand-building initiatives that reached over 300 million consumers and trade audiences. Furthermore, Castrol India expanded its national distribution network to approximately 150,000 outlets.

In December 2025, BP plc, the ultimate holding company, announced an agreement to sell a 65% shareholding in Castrol's global lubricants business to Stonepeak. The transaction is subject to approvals and is expected to be completed by the end of 2026. Castrol India clarified that this sale would not impact the financial results of Castrol India for the quarter and year ended December 31, 2025.

While the company's revenue and EBITDA showcased growth, investor attention is also drawn to a decrease in total equity YoY, largely due to dividend payouts. Despite this, management remains optimistic about the demand for lubricants and opportunities for further expansion, particularly in rural areas, scaling up the industrial and specialty segments, and localizing the supply chain.

Castrol India's Q3 results reflect a mixed financial landscape. While net profit saw a decline, record revenue and strategic initiatives indicate continued growth and market presence. The announcement of a ₹5.25 dividend per share highlights the company's commitment to rewarding shareholders, even amidst a challenging quarter.