Exide Industries Q2 PAT Down 13.66% on Higher Expenses

Kolkata/New Delhi, Nov 4 (PTI) Battery maker Exide Industries Ltd on Monday reported a 13.66 per cent decline in consolidated profit after tax (PAT) at Rs 233.4 crore in the September quarter, impacted by higher expenses and inventories.

The company had posted a consolidated PAT of Rs 270.32 crore in the same quarter last fiscal, Exide Industries Ltd said in a regulatory filing.


Consolidated revenue from operations in the quarter under review was at Rs 4,450 crore compared to Rs 4,371.52 crore in the year-ago period.


Total expenses were higher at Rs 4,157.63 crore against Rs 4,043.57 crore in the same quarter a year ago, the company said.


There had been an increase in work-in-progress and inventories to the tune of Rs 229 crore during the quarter which is more than double compared to Rs 107 crore in the comparable quarter last year.


The battery maker's cash generation from operation during the first six months (April-September) on a consolidated basis also dropped sharply to Rs 764 crore against Rs 1,658 crore.


In the second quarter, the two-wheeler and four-wheeler replacement markets experienced robust demand, leading to double-digit revenue growth, it added.


Industrial-UPS and solar segment also enjoyed strong demand momentum during the quarter. However, the demand scenario was soft in the home-UPS segment due to the early onset of monsoons, Exide Industries said.


On the export front, the company said, "Demand has been encouraging and we are making strides entering new geographies and strengthening our position in the existing ones. Our focus is on enriching the product portfolio and broadening the distribution network to address the international demand."


On the outlook, Exide Industries MD & CEO Avik Roy said, "For the near-term, business outlook is positive and commodity prices have started easing, which is expected to support profitability.