Auto component maker Sona Koyo Steering Systems Ltd today reported over three-fold increase in its consolidated profit after tax for the year ended March 31, 2011 to Rs 49.09 crore.
The company, which had posted a profit after tax of Rs 15.77 crore in the previous fiscal, said its Board of Directors have declared a dividend of 65%.
Net sales during in the last fiscal grew 41% to Rs 1,203 crore from Rs 853 crore in the previous year.
"While there were good sales, we have been able to localise some of our products. Besides, we have benefited from cost reduction and efficiency measures," Sona Koyo Steering Systems Ltd Surinder Kapoor said.
He said the company was able to pass on the impact of high raw material costs to its customers and thus was not impacted too much.
On a standalone basis, the company's profit after tax for the fourth quarter ended March 31, 2011 stood at Rs 11.8 crore, up from Rs 10.2 crore in the corresponding period an year ago.
Standalone net sales for the quarter were at Rs 292 crore as against Rs 242 crore in the same period in the previous fiscal.
Kapoor said the company has earmarked Rs 100 crore as capital expenditure for the ongoing fiscal. In the last fiscal the company had a capex of Rs 50 crore.
"There will be incremental increase in production capacity besides other expenses," he said.
Kapoor also said with strong domestic demand, the company expects to grow around 20% in sales this fiscal, although the impact of earthquake and tsunami in Japan could be felt here in India too.
"There is a likelihood that Toyota and Nissan may not ramp up their production as earlier planned due to the Japan situation. However, Maruti Suzuki, from which 48% of our sales come from, is unlikely to be affected," he said.
Sona Koyo Steering Systems Ltd shares closed the day on the BSE at Rs 18.10 per share, up 2.84% from the previous close.