Exide full-year net jumps 13% to Rs 523 crore; PK Kataky appointed as MD & CEO

KOLKATA: Exide Industries board on Monday appointed P.K Kataky, director-automotive, as managing director & CEO with effect from May 1. He will replace the present managing director & CEO T.V. Ramanathan who will retire on Tuesday (April 30, 2013).

In a mediastatement issued on Monday, the company said that it plans a capital outlay of Rs 250 crore for capacity augmentation of industrial batteries and modernisation of its units during FY’14. The debt-free company had incurred a capital expenditure of Rs 176 crore during FY’13.

Following the Insurance Regulatory and Development Authority ( IRDA) approval in March, the company completed acquisition of the remaining 50 % stake in ING Vysya Life Insurance. “The acquisition was funded entirely from the internal cash resources of the company,” the mediastatement stated.

The board of Exide has recommended a final dividend of Re 0.60 a share (face value of Re 1) for FY 2013. It has declared an interim dividend of Re 1.00 a share.

For 2012-13 fiscal, Exide Industries’ net revenue was up 19 % at Rs 6,071 crore. Despite the margin pressures, net profit at Rs 523 crore was 13 % higher than the previous year. The company reported a 40 % sequential growth in its Q4 net profit for the period to March 2013. The company’s operating margin improved 320 basis points sequentially.

Exide Industries MD & CEO T.V. Ramanathan said: “there is a marked improvement in the company’s performance during the fourth quarter of financial year 2012-13. The regaining of market share in the crucial automotive replacement market that started during the first quarter of the financial year gained further traction during this period. However, the full impact of the volume growth did not accrue due to de-growth in the original equipment (OE) business in the four-wheeler segment and less than expected growth in the two-wheeler OE segment.”