Autoline Industries Ltd reports Q2FY23 earnings

Autoline Industries Ltd. (Autoline), a leading auto components manufacturer has announced its results for the 2nd Quarter ended FY23.

Performance Highlights

Revenue: In Q2 FY23 revenue growth registered by 23% over Q2 FY22. However, there was drop in commercial vehicle sales by 20% due to liquidation of inventory in view of forthcoming RD regulations in Q2FY23 Vs Q1 FY23. Passenger Vehicles continue to show increased volumes.

Operational Efficiency: EBITDA margins for the company reduced due to revenue drop of CV, liquidation of higher cost RM inventory, substantial changes in RM cost, wage rates hikes to attract skilled manpower due to change in market dynamics. The company is taking efforts to reduce the costs and improve top line with diversification of customer base to improve further profit margins.

Divestment of Asset: Company consolidated two more units with the objective to monetize the non-core assets and use the proceeds for debt and cost reduction with effect from FY23. This resulted in extra ordinary income & consequently PAT.

"Company has seen a growth which we believe will continue. However, we expect marginal reduction in CV Sales in Q3. The auto sector is driving the growth story for light commercial vehicles and E-Vehicles. We had expanded our customer base and determined to diversified in to EV Component, E-Vehicles, Non-auto business in product portfolio to improve topline and operational efficiency", said Shivaji Akhade, Managing Director.

Shares of Autoline Industries Limited was last trading in BSE at Rs. 106.40 as compared to the previous close of Rs. 108.10. The total number of shares traded during the day was 6687 in over 178 trades.

The stock hit an intraday high of Rs. 108.95 and intraday low of 105.95. The net turnover during the day was Rs. 717561.00.

Source : Equity Bulls

Keywords

AutolineIndustries INE718H01014 Q2FY23 H1FY23 ResultUpdate Earnings