Engineering company Greaves Cotton has reported a net profit of Rs 39 crore in the first quarter ended June 30, down from Rs 44 crore last year.
The company said despite tough market conditions, it posted revenue of Rs 445 crore, up from Rs 424 crore in the same period of the last fiscal.
EBITDA (earnings before interest, taxes, depreciation and amortisation) for the April-June period stood at Rs 60.4 crore as against Rs 61.5 crore in the same period last year, a company statement said here.
Sunil Pahilajani, MD & CEO of Greaves Cotton, said "despite a challenging market environment, the company, with its sustained focus on various lines of business, recorded revenue growth of 5 per cent in the quarter ended June 30 over the same period last year."
"This has been possible due to strategic initiatives on launching a new range of solutions, enhancing service quality and entering new geographies.
"This is to be seen in the context of weak revenue growth in the immediate past quarters. Contributing to the higher revenue is robust growth in the farm equipment business and the auxiliary power business," he said.
"We continue our value engineering efforts that have delivered a healthy EBIDTA margin of 13.6 per cent. Our efforts on cost controls are sustainable and will continue to improve," Pahilajani said.
The initial forecast of a good monsoon seems to be coming true in most parts of the country. This augurs well for the farm equipment business even as we ready ourselves with a 'Make in India' range of products for launch during the year, he said.
