Castrol India Limited Investor presentation 15 May 2018 2 How - - PowerPoint PPT Presentation

Castrol India Limited Investor presentation

15 May 2018

How lubricants contribute to our world 2

We lubricate vehicles and various machine parts for protection, cleaning, cooling, rust-proof and sealing

An international premium lubricants brand 3 Castrol - BP’s premium lubricants brand, recognized for quality, pioneering technology and high performance.

Our global presence - part of BP Group 4

Creating strong brands marketing our products in

120 countries

Team of

7,500

people Serving over 500,000 customers and

200 million consumers 7 technology centers

inventing the future of lubricants Harnessing digital technologies to advise Supplying customers through a network of

25 plants 4.2 million customers

5

1917 1929 1946 1958 1968

A part of BP Group Leading auto, industrial, marine & energy lubricant company in India In India for more than 100 years Three manufacturing plants Distribution network servicing over 105,000 retail sites

In India for over a century

1979

What we stand for

Our values and behaviours Our values express our shared understanding of what we believe, how we aim to behave and what we aspire to be as an organisation. Our business ethics and Code of Conduct We define our commitment to high ethical standards in

• ur Code of Conduct. It is based on our values and clarifies

the principles and expectations for how we work. Our Code

• f Conduct is our guide to doing the right thing.

Safety Everything we do depends on the safety of our operations,

• ur workforce and the communities around us. We strive to

create and maintain a safe operating culture, putting safety at the front of everything we do.

6

A business with a portfolio built for growth 7

Cars Bikes Commercial vehicles Industrial Marine & Energy

Personal mobility Power brands Investment in brand & people Pioneering technology / category creation Distribution

Strategic growth drivers 8

Strong brands 9

Largest selling brand in two wheeler segment Largest selling diesel engine oil Largest selling brand in car segment Market leader in corrosion preventives and metal cutting fluids segment Driving growth in the car segment

Launch of technologically advanced products 1Q 2018 10

New CASTROL MAGNATEC with DUALOCK technology New CASTROL TURBO MAX with up to 2 times longer engine life A refreshed portfolio in specialties with the launch of Castrol SPHEEROL greases and Castrol TRANSMAX driveline oils

Strong and enduring relationships 11

Strong distribution network 12

Map source: http://www.surveyofindia.gov.in/

Ahmedabad Bhiwandi Patna Jamshedpur Cuttack Hyderabad Bangalore Chennai Palakkad Indore Nagpur Kolkata Jhajjar Jaipur Kanpur Raipur North South West East Guwahati Rajpura NH EH WDC Kakinada

Number of Plants 3 Delivery Centres 3 Number of Warehouses 20

Bhilad

A good corporate citizen 13

Skill development Road safety Community development Humanitarian aid

EKLAVYA EHTIYAT EKJUT EHSAAS

Through our CSR programmes we strive to contribute to a safer and better quality of life

Our CSR pillars 14

Collaborating for safer mobility Skill development in automotive and industrial sectors Community development in areas of operations Humanitarian aid

Recognition 15

Financial Express CFO of the Year for Large Companies ‘17 Golden Peacock Special Commendation for Excellence in Corporate Governance‘17 Mint Corporate Strategy Award ‘18 Runners up at FICCI CSR Awards’17 for Eklavya skill development for mechanics IndiaStar Packaging Award’17 D&B Best Company

• Specialty Oils & Lubricants‘17

Environment – Base oil prices stabilizing

16 INR Range bound 64-66 / $

Brent Crude and Base Oil Price Movement (Heading north since 2Q’16)

16

RBI Reference Rates

Shareholding pattern 17

49% 51% Promoter shareholding Non-Promoter shareholding

% of Share Holding

Listed on BSE & NSE

Value to Shareholders – Market Capitalization (31.03.2018) 18

Market Cap INR 203 bn

Prices are Indexed to Jan’07

Key Financial Numbers / Ratios 19

Financial KPIs

2012 2013 2014 2015 2016 2017 1Q 2017 1Q 2018

Revenue from Operations

3,121 3,180 3,392 3,298 3,370 3,584 882 927

Gross Profit

1,297 1,391 1,455 1,697 1,839 1,918 478 498

Overheads

700 734 774 841 884 931 227 238

PBT

666 762 726 951 1,040 1,070 269 282

PAT

447 509 475 615 670 692 179 182

Cash Flow from Operations

467 396 548 740 663 609

• Ratios

GP Ratio

42% 44% 43% 51% 55% 54% 54% 54%

ROS = PBT/NSV

21% 24% 21% 29% 31% 30% 31% 30%

Overheads as a % of GP

54% 53% 53% 50% 48% 49% 48% 48%

RONW %

62% 56% 87% 77% 72% 69% 71% 65%

EPS ( Rs ) – Diluted

4.5 5.1 4.8 6.2 6.8 7.0 1.8 1.8

Amount in Rs. Crores

Confidential – Not to be shared

Bonus Shares – Track Record 9 Bonus issues in 35 years comprising 99.28% of Capital

• No. of shares in million

20

Journey to brilliance 21