Rane Engine Valve Limited (NSE: RANEENGINE; BSE Code:532988), a leading manufacturer of Engine Valves, Guides and Tappets today announced financial performance for the second quarter (Q2 FY20) and six months (H1 FY20) ended September 30th, 2019.
Q2 FY20 Performance
- Total Net Revenue was Rs. 94.6 Crore for Q2 FY20 as compared to Rs. 107.8 Crore in Q2 FY19, a decrease of 12.3%
- EBITDA stood at Rs. 4.5 Crore for Q2 FY20 as compared to Rs. 3.4 Crore during Q2 FY19, an increase of 33.6%
- EBITDA Margin at 4.7% for Q2 FY20 as against 3.1% in Q2 FY19
- Net Loss of Rs. 3.7 Crore for Q2 FY20 as compared to a loss of Rs. 4.1 Crore in Q2 FY19
H1 FY20 Performance
- Total Net Revenue was Rs. 198.6 Crore for H1 FY20 as compared to Rs. 210.9 Crore in H1 FY19, a decrease of 5.8%
- EBITDA stood at Rs. 7.8 Crore for H1 FY20 as compared to Rs. 6.7 Crore during H1 FY19, an increase ot 15.4%
- EBITDA Margin at 3.9% for H1 FY20 as against 3.2% in H1 FY19
- Net Loss of Rs. 7.9 Crore for H1 FY20 as compared to a loss of Rs. 8.5 Crore in H1 FY19
Operating Highlights for Q2 FY20
- Sales to Indian OE customers declined 18%. Volume drop across segments.
- Sales to Internationalcustomers declined 8%.
- EBITDA margin improved by 162 bps
* Despite lower volume, favourable raw material price and forex movement and operational performance improvement helped to improve EBITDA margins
"REVL had a challenging quarter with significant drop in volumes across segments. The plants continued to improve on operational performance. The unprecedented drop in demand has set us back on the turnaround plan. The team is working to further improve operational performance and reduce costs. We are hopeful that these measures will help REVL to get back to turnaround plan once the demand environment improves." - L. Ganesh, Chaírman, Rane Group.