Gulf Oil Q2 net up 17% at Rs 10 cr

Income from operations drops marginally to Rs 257 cr from Rs 260 cr in Sept 2012

Gulf Oil Corporation, Hinduja Group's lubricants and explosives company, has recorded a net profit of Rs 12.38 crore for the second quarter ended September 30, 2013, a growth of 17 per cent over Rs 10.59 crore in the corresponding quarter last year.

The company has registered a small drop in its income from operations at Rs 256.82 crore for the September quarter versus Rs 259.75 crore in the corresponding period last year.

The company, in a press statement said: "The lubricants division has managed to maintain its revenues and profits in spite of a challenging environment and difficult demand pattern faced in the automobile and related industries."

The company stated that the prices of raw materials continued to rise significantly during the second quarter on account of increase in crude prices globally and rupee depreciation during the quarter.

"In spite of the mining scenario continuing to be affected by the policy and related issues, the division was able to maintain its second quarter turnover of Rs 18 crore," the company said.

However, the mining infrastructure division continued to reduce cost and limit activities due to major projects of the company being under suspension for want of various Government/regulatory clearances in the non-coal sectors.

Under the company's property division, it said, work on the Rs 1,800-crore project Écoplis at Yelahanka in Bangalore is under development with Hinduja Realty and is progressing as per plan.

However, uncertainty over the bifurcation of Andhra Pradesh is delaying the finalisation of plans.

Gulf Oil shares were down 1.07 per cent at Rs 78.55 on the BSE.