Steel wheels manufacturer Wheels India has clocked a 38.75 per cent rise in its net profits for the quarter ending June 30, 2018 at Rs 18.01 crore as against the Rs 12.98 crore registered in the corresponding period of the previous year.
Total revenues of the TVS Group company for the quarter ending June 30, 2018 grew to Rs 746.28 crore as compared to Rs 611.05 crore registered during the year-ago period.
The city-based company which is setting up a new greenfield factory along with Tokyo-headquartered car steel wheels maker Topy Industries, in a statement here said it had commenced production at the facility.
The new plant at Vanod, Gujarat has a capacity to produce 1.50 million passenger car steel wheels.
Commenting on the financial performance, the company's Managing Director, Srivats Ram said, "all our business segments have done well in the first quarter with high capacity utilisation."
The growth was strong on a year-on-year basis due to weak Q1 in the previous year, prior to the introduction of Goods and Services Tax, he said.
"We expect all segments of our business to do well for the rest of the year", he said.
Besides the Gujarat plant, Wheels India has manufacturing facilities in Tamil Nadu, Maharashtra and Uttarakhand with a total capacity of producing 10 million wheels a year.
The company also ships its products to the United States, Japan, the United Kingdom, South Korea and Brazil.
Shares of Wheels India were trading at Rs 1,090 apiece, down by 2.68 per cent over the previous close in BSE.
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