Record volume growth, but profitability claims overstated vs delivered

Delivered PAT ₹120.8 Cr, ~5.5% below stated

Delivered ₹1,327.2 Cr, YoY growth 30.6%, not 33%

NPM 8.9% implies OPM 12.5%, at low end of band

Core lubes 48,000 KL (+17% vs prior 45,000), industry ~3-4% confirmed

B2C, OEM, B2B all grew double-digit; B2B 45%, B2C 55% mix maintained

Converted Hormuz crisis into market-share gain; won new OEM, B2B, infra clients. 17% volume (3x industry) reflects both crisis demand AND operational edge.

PAT stated ₹127.5 Cr, delivered ₹120.8 Cr (5.5% miss). OPM 12.5% vs guided 12-14% band. Input cost pass-through lagging.

Q1 'slightly subdued' vs expectations; government e-bus depot tenders delayed. Growth pushed to H2 FY27, not H1.

Reaffirmed 12-14% band but emphasized per-liter margin over percentage margin in high-inflation scenarios; potential upside to 14-16% via premiumization remains on long-term roadmap.

All segments grew double-digit; B2C and B2B mix remained 55% and 45% respectively, so balanced growth kept overall mix stable.

AdBlue stable at 38-40k KL/qtr, top-3 player, single-digit margin. EV nascent; ₹300-400 Cr guidance in 3-4 yrs pending government e-bus tender materialization in next 1-2 yrs.

No change; multiple price increases (3/month in B2C) due to unprecedented input cost rise. Strong brand position allowed price leadership in select segments.

Premium/synthetic products still <10% of portfolio; aiming to grow incrementally 1-1.5% annually via product launches (Syntrac, biodegradable oils). Value increase expected to exceed volume growth.

Some growth from supply-security stocking; majority from agility and segment execution across OEM, B2C, B2B. Plan to sustain 2-3x market growth.

In inflation, per-liter management is priority. Percentage margin may dilute but 12-14% band intact long-term; premiumization can support move to 14-16%.

No inventory gain accounting; FMCG model (pass through cost increases). Any ₹109 Cr inventory build is FG volume/mix, not accounting gain.

Price increase taken July 1st retail; full implementation takes 1-2 months (channel pipeline). Crude down but base oil sticky; further increases may be needed; very month-to-month.

Double-digit core volume growth (17% Q1 may have some pre-buy, but 2-3x market is target). Revenue growth 2-3x market. EBITDA 12-14% band maintained despite macro.

Supplies managed via long-term refiner tie-ups and spot market. Carrying 30-45 days BO inventory. Not seeing major disruption Q1; depends on Hormuz normalization.

₹300-400 Cr is Tirex revenue guidance in 3-4 yrs; expansion already baked in. Current capex for DC charger capacity; no CPO (charging station) business planned near-term.

Silvassa and Chennai on track; phased production increase Q3-Q4. Chennai commission Dec 2026, Silvassa by March FY27 year-end.

In close touch with all Indian NOCs (IOC, BPCL, HPCL) for additional base oil sourcing. Flexible to buy subject to price/quality norms.

Synthetic/premium still <10% of overall. Some products (Syntrac motorcycle oil) single-digit volumes but expecting 1-1.5% annual growth. Each segment has ballpark 10-20% premium opportunity.

1 of 3 EV buses on a Tirex charger. 8-10% market share in DC; also AC chargers for MG, VinFast. Growth hinges on public e-bus network expansion and charge-point operator adoption.

Won't disclose % due to contracts. But 50 OEMs now (vs 2 in 2007-08); double-digit growth across all segments including OEM.

B2C MRP-driven; past precedent shows margin retention on price increases (not full rollback). B2B formula-driven (pass-through). Depends on input cost and competition.

Very difficult to predict segment-to-segment. Unprecedented 3-digit rupee increases have happened; some demand elasticity expected but not quantified.

Don't calculate daily gross margin; weighted average system. A&P 3% of revenue maintained; operating leverage from fixed cost absorption helped margin.

Not necessarily. B2C price increases 3-digit rupees unprecedented; some rollback likely when costs ease. Full price-increase reflection will come Q2-Q3. Market and competition will determine margin outcome.

Q1 battery ₹20 Cr turnover (vs ₹80 Cr full-year FY26). Good growth this quarter; targeting 10-15% annual growth expanding outlets.

Exports in range of 9-10% of total revenue (vs prior 7-8% noted). Slight uptick.

B2C price moves varied by segment over past 6-12 months. Some products (not full categories) moved up; also reduced schemes. Brand position (top 2-3) allows selective pricing moves.

More FG produced at higher rate due to cost increases. Weighted average system; no inventory gain play.

Supply most bus OEMs (Olectra, Switch, OHM, Mahindra, etc.). Some construction OEMs and charge-point operators added Q1. AC chargers to MG, VinFast. Expanding but bus-OEM focused.

Tirex will supply chargers, not operate CPO business (cash burn, low utilization in India). Building robust technically-advanced chargers with Indra. CPO evaluation at future appropriate time.

Combined value of closing inventory (Jun 30) vs opening (Mar 31). Inventory value up due to cost increases during period; reflects weighted average impact.

Reaffirmed from FY26 calls. Q1 at 30.6% benefited from supply-crisis one-offs; expect normalization but retain 2-3x positioning.

Q1 at 12.5% (OPM) low end. Full price-pass-through delayed to Q2-Q3; percentage margin may face rollback risk; per-liter focus now priority.

Civil work & machinery orders set; installation ongoing. Chennai commissioned Dec 2026, Silvassa by Mar 2027 year-end.

Strait of Hormuz supply disruption ongoing. Crude above $100 until recently (now ~$85). Base oil pricing lags crude; Group III grades scarce. Uncertain duration and magnitude of supply impact.

B2C saw 3-digit rupee increases (unprecedented). While historically some price retention occurs post-cost normalization, market competition could force rollbacks. Motorcycle/agri segments more price-sensitive than PC.

Management stated PAT ₹127.5 Cr; delivered ₹120.8 Cr (~5.5% miss). Revenue growth claimed 33%, actual 30.6%. Margin 12.5% OPM at low end of 12-14% guidance. Input cost pass-through lag and gross margin compression offset operating leverage.

Tirex charger business expected to ramp but Q1 'slightly subdued' due to government e-bus depot delays. ₹300-400 Cr revenue target in 3-4 years depends on public e-bus fleet adoption, charge-point operator buildout, utilization rates. Market nascent in India.

Inventory up ₹109 Cr due to higher finished goods value (weighted average system). Reflects working capital cycle stress during input cost inflation. Will be unwound as prices normalize or sales accelerate.