Exide reports 25 per cent rise in net profit in Q2
Exide Industries Ltd, the country's largest Lead Acid Storage Battery Manufacturers achieved a YOY net profit growth of 25% for the quarter ended September 30, 2008. At its Board Meeting held today, to consider the unaudited results for the three months ended 30 September 2008, the Company reported a net profit of Rs 78 crores as against Rs 62 crores same period of the previous year. The net sales for 3 months of Rs 901 crores also show a YOY growth of 35%.
Tweet-- Exide Industries Ltd, the country’s largest Lead Acid Storage Battery Manufacturers achieved a YOY net profit growth of 25% for the quarter ended September 30, 2008. At its Board Meeting held today, to consider the unaudited results for the three months ended 30 September 2008, the Company reported a net profit of Rs 78 crores as against Rs 62 crores same period of the previous year. The net sales for 3 months of Rs 901 crores also show a YOY growth of 35%.
For the 6 months of the current financial year 2008 / 09, the net sales of Rs 1,807 crores and the net profit of Rs 160 crores reflected a YOY growth of 36% and 21% respectively.
Commenting on the satisfactory Q2 performance, Exide’s Managing Director and Chief Executive Officer, Mr T.V. Ramanathan said, “Proactive steps taken during the last 12 months to secure a portion of raw materials from Secondary Lead indigenously available by acquiring Lead smelting capacities coupled with an improved sales mix has ensured satisfactory growth despite the very challenging economic environment”.
The strong Balance Sheet and the very low Debt Equity Ratio would ensure the Company meets its finance requirements for the ensuing quarters also in a cost effective manner, Mr Ramanathan added.
The recent softening of Lead prices in the international market to some extent has been neutralized by the sharp depreciation of Rupee against the Dollar.
In the Automotive battery segment, the growth in value terms for the six months ended 30 September 2008 is 35%. The lower volume growth in the OE business has been countered by a robust growth in the Replacement Trade sales.
Under the Industrial battery segment, the overall growth in value terms for the half year is 40%. Telecom and Power sectors underpin this value growth. Exide’s traction batteries continued to find ready export markets in the developed economies of Western Europe, South Africa, Korea, Japan and Australia.
Notes to Editor
About Exide:
Exide Industries Ltd is the country’s largest manufacturer of lead acid storage batteries and power storage solutions provider. With seven international standard factories spread across the nation, the company offers one of the widest ranges of batteries for every conceivable application in industrial as well as automotive segments. Exide also has a manufacturing subsidiary in Sri Lanka and does business globally through its subsidiaries and affiliates in South-East Asia, Australia and Europe. Exide’s products are sold globally, particularly in developed markets like Australia, Japan and Western Europe, under its own brand name.
Exide’s strong brand pull, established in India for close to hundred years, is supplemented by its nationwide dealer network and a very strong R&D center. With the help of two of its Japanese collaborators – Shin Kobe and Furukawa - Exide has consistently remained at the cutting edge of international battery technology and introduced various pioneering products and power storage solutions in the Indian and global markets.
Exide’s products find application in automotive, two-wheelers, inverters, UPS, power, telecom, railways and submarines, among others. Exide is also present in the non-conventional energy business where it designs and integrates solar and wind power solutions.