Lubricants industry
10 companies · ₹37,791 cr · 3 with AI deep dives · Q1FY27 report
Hormuz shock bifurcates the sector: lubricant spreads at multi-year highs; OMC under-recoveries erase earnings
- Revenue YoY
- +56.0%
- EBITDA margin
- 20.5%
- +810bps YoY
- Price, 1 year
- +30.7%
- 50% of names up
- P/E vs own 5y
- +3.3%
- 12.0x now
Exhibit 1The quarter in numbers
constant panel of 6 companies above ₹500 cr- Jun 26
- 8,754 cr
- Mar 26
- 6,348 cr
- QoQ
- +37.9%
- Jun 25
- 5,612 cr
- YoY
- +56.0%
- Peak
- 8,754 cr
- vs peak
- 0.0%
- Jun 26
- 20.5%
- Mar 26
- 11.8%
- QoQ
- +870bps
- Jun 25
- 12.4%
- YoY
- +810bps
- Peak
- 20.5%
- vs peak
- 0bps
Breadth: 100% of 6 companies grew revenue year on year (was 100% a quarter earlier) and 83% expanded margin (was 50%).
Exhibit 2What it costs
9.4x - 14.24x across the panel todayThe median name trades at 12.0x, +3.3% against this industry's own 5-year median of 11.6x, and -52.6% against its own peak of 25.3x.
Exhibit 3Structure
₹37,791 crCastrol India Ltd is 48.7% of this industry by market cap. The top 5 are 91.8% and the top 10 are 100%.
Exhibit 4Screen
P/E below the sub-industry median of 11.98x, 5y ROCE above its median of 19.43%, and at least 2 growth triggers stated on the latest earnings call.
Which names clear this screen is premium
The screen runs on stated growth triggers from the latest earnings calls - the same guidance data the stock screener reserves for premium. Premium names every company in this industry that is cheap against its own median and has the triggers behind it.
See plans →Exhibit 5Coverage (10 of 10)
Every company here with a deep dive, topped up by market cap. The rest of the industry is in the appendix.
- Mcap
- ₹5,249 cr
- P/E
- 14.2x
- EV/EBITDA
- 9.8x
- ROCE
- 30.9%
- Margin
- 14.2%
- Rev YoY
- +30.6%
- Mcap
- ₹2,669 cr
- P/E
- 8.8x
- EV/EBITDA
- 11.4x
- ROCE
- 28.6%
- Margin
- 5.8%
- Rev YoY
- +91.8%
Exhibit 6What managements said
from Petroleum Products earnings calls · as of 2026-06-30Six of eight companies explicitly cited the US-Iran conflict and Hormuz closure as a material operating event. For OMCs (HPCL, BPCL, IOC), term crude contracts from the Arabian…
- RELIANCE (Q1FY27): “OSPs in the Middle East went as close to $20 a barrel. Normally, we are familiar with a…”
Exhibit 7Outlook
The outlook and what resolves next quarter
Where these managements said things are heading, and the dated, checkable events that would change it. Free with an account - 3 full reports a quarter.
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