Amara Raja Batteries Q4 PAT jumps 38% to Rs 189 cr

On a consolidated basis, the automotive batteries maker's net profit jumped 38% to Rs 189.38 crore in Q4 FY21 as against Rs 137.30 crore in Q4 FY20.

Revenue from operations rose 33% to Rs 2,102.70 crore in Q4 FY21 over Q4 FY20. Profit before tax (PBT) surged 45% to Rs 258.79 crore in Q4 FY21 over Q4 FY20.

The company recorded a decent revenue growth in Q4 FY21, which was aided by strong volume growth in both automotive and industrial applications across all customer segments. These sectors witnessed better than expected demand in the last two quarters of the last financial year, resulting in emerging industry needs and a stronger market demand. Consequently, Amara Raja has been keeping manufacturing operations at the optimum capacity utilisation levels while following strict employee health and safety measures, owing to the Covid second wave.

 

Jayadev Galla, vice chairman & MD of Amara Raja Batteries said, "We have managed to perform better than the previous year despite the very challenging and uncertain environment during the fiscal year gone by. The last quarter of FY21 witnessed strong growth across all segments. While the second wave of Covid and the resultant lockdowns currently being enforced are creating unpredictability in the product off take, we are working to ensure the product availability across all market is taken care of by dynamically managing the supply chain. We continue to take all possible measures to safeguard health and well-being of our employees in the current pandemic situation."

He added, "Our capacity augmentation projects are being implemented as per schedule in anticipation of strong revival of economic activity in the country in the near term. While the short-term challenges posed by the second wave of Covid are being addressed with agile organisational processes, we remain focused on preparing ourselves for the future opportunities in both the energy storage and mobility energy application, by participating in advanced cell technologies and creating sustainable products."

The company posted a 2.11% decline in consolidated net profit to Rs 646.83 crore for the year ended March 2021 (FY21) compared to Rs 660.80 crore in the year ended March 2020 (FY20). Revenue from operations increased 4.54% to Rs 7,149 crore in FY21 over FY20.

Meanwhile, the company has announced a final dividend of Rs 6 per equity share for the financial year 2020-21.

Amara Raja Batteries is one of the largest manufacturers of lead-acid batteries for both industrial and automotive applications in the Indian storage battery industry.

Shares of Amara Raja Batteries rose 0.12% at Rs 791.65 on Friday.

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