Rane Holdings Q1 dips marginally on higher commodity prices

Revenue from operations rose 57% to ₹817 crore

Rane Holdings Ltd. reported consolidated net profit for the first quarter dipped marginally to ₹20.60 crore from ₹20.74 crore following an increase in commodity prices.

Revenue from operations rose 57% to ₹817 crore, while total expenditure by 47% to ₹806 crore, it said in a regulatory filing.

As per group aggregate performance, total revenue improved by 48% to ₹1,624 crore and profit before tax grew to ₹50 crore from ₹27 crore.

Revenue from Indian OE customers grew 53% supported by strong growth across vehicle segments.

Revenues from International customers increased 27% driven by higher offtake for steering and valve train products and revenue from Indian aftermarket segment grew 94% supported by higher volumes and improved operational performance.

“The group companies benefited from the favourable demand environment across the market segments. Higher volumes and improved operational performance helped drive profitability,” said L. Ganesh, CMD.

During the quarter, ZF Rane Automotive India Pvt. Ltd., a joint venture/associate entity incorporated a wholly-owned subsidiary named ZF Rane Occupant Safety Systems Pvt. Ltd. It is yet to commence operations.