Chennai, Jan 30,2024: Automotive wheels major, Wheels India Ltd on Tuesday said it has registered a net profit of Rs 12.58 crore for the Q3 ended 31st December 2023 as compared to Rs 15.36 crore registered in the corresponding quarter of the previous year.
Revenues for Q3 ended 31st December 2023 went up 11.1 per cent to Rs. 1,131 crore as compared to Rs 1,018 crore for the Q3 ended 31st December 2022.
The revenue growth in Q3 was driven by a strong recovery in exports. The company registered export revenues of Rs 307 crore in Q3 ended 31st December 2023 as compared to Rs 205 crore in the corresponding quarter of the previous year.
Commenting on the results, Srivats Ram, Managing Director said that the profits in Q3 were impacted by low demand in the tractor and mining wheel segments and by the floods that affected our Padi plant (in Chennai) in the first week of December (2023).
“There was no power for a week at our plant in Padi, and we were not able to run it to full capacity in that period,” he said.
On the revenue growth, Ram said that despite slowing down of the economy in some geographies they have managed to grow our exports for the fourth consecutive quarter.
“When compared to Q3 of last year, growth came in the machining of castings for windmills and in hydraulic cylinders, apart from aluminium wheels,” he said.
On the near-term outlook, Ram said that while the global economy is likely to slow down next year, they are hopeful of continuing to grow our exports.
“On the domestic front, we expect the Indian economy to show reasonable growth post elections,” he said.