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

Turning upmargin troughed at 11.1% and has risen for 7 quarters to 20.5%, on positive revenue growth
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
aggregate revenue (₹ cr)EBITDA margin (right axis)
Revenue
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%
EBITDA margin
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 today

The 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 cr

Castrol India Ltd is 48.7% of this industry by market cap. The top 5 are 91.8% and the top 10 are 100%.

mid 1small 5micro 46 above ₹500 cr

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
₹18,625 cr
P/E
17.4x
EV/EBITDA
-
ROCE
65.0%
Margin
24.1%
Rev YoY
+25.0%
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%
Mcap
₹4,919 cr
P/E
11.6x
EV/EBITDA
-
ROCE
31.3%
Margin
6.6%
Rev YoY
+49.6%
Mcap
₹2,926 cr
P/E
6.2x
EV/EBITDA
10.4x
ROCE
18.1%
Margin
15.1%
Rev YoY
+150.3%
Mcap
₹2,496 cr
P/E
11.4x
EV/EBITDA
-
ROCE
22.7%
Margin
11.2%
Rev YoY
+18.5%
Mcap
₹333 cr
P/E
11.2x
EV/EBITDA
8.5x
ROCE
11.5%
Margin
10.9%
Rev YoY
-
Mcap
₹85 cr
P/E
6.8x
EV/EBITDA
6.6x
ROCE
26.3%
Margin
4.8%
Rev YoY
+58.5%
Mcap
₹42 cr
P/E
58.6x
EV/EBITDA
14.4x
ROCE
1.5%
Margin
9.4%
Rev YoY
-
Mcap
₹39 cr
P/E
6.8x
EV/EBITDA
5.7x
ROCE
19.7%
Margin
8.8%
Rev YoY
-

Exhibit 6What managements said

from Petroleum Products earnings calls · as of 2026-06-30
mixedStrait of Hormuz closure: sector-wide supply shock with asymmetric P&L impact6 managements

Six 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…
5 more themes from this quarter's earnings calls are locked. A free account opens 3 full reports a quarter: every theme with verbatim management quotes, the demand picture, companies running against the tide, and the regulatory & disruption watch. Sign up free →

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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AppendixThe other 0 companies

1-0
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