Exide Q1 net up 4% at Rs 159 crore

KOLKATA: Battery maker Exide Industries Ltd on Monday said its net profit rose by 4.44 % to Rs 158.80 crore for the first-quarter (Q1) ended June 30, 2013, compared to Rs 152.04 crore net clocked in the same period the previous fiscal. Net sales at Rs 1,626.34 crore during the said quarter was up 5 % as against Rs 1,552.13 crore in the corresponding previous year.

“The improved financial performance is largely due to increased sales growth in the after-market segment of the automotive battery business. Our emphasis on value engineering also paid rich dividends to improve margins. These efforts will continue across all levels so that the momentum is carried into the future.” said Mr PK Kataky, managing director, Exide Industries.

Incidentally, Mr Kataky took over the role of MD & CEO with effect from May 1, 2013.

The improved performance during the quarter is all the more significant because it comes at a time when the automotive OE business has suffered severely due to slack in demand from the industry.

“In the coming months, depreciation of the rupee will increase the cost of imported lead. Performance of the industrial batteries business also remained damp due to overall stagnation in the world and Indian economy. Even home UPS battery sales were depressed during the quarter due to advance onset of the monsoon. Batteries for solar applications, however, are showing an encouraging growth trend”, Mr Kataky added.