Business

Rane Brake net falls 10% on costs, forex

L. Ganesh

L. Ganesh  

‘Demand may be favourable this year’

Rane Brake Lining Ltd., the leading maker of brake linings and disc pads, reported a 10% decline in its standalone net profit for the first quarter ended June 30 to ₹6.6 crore compared with ₹7.3 crore posted a year earlier, due to higher material cost, foreign exchange impact and increase in employee cost.

Net revenue rose 22% to ₹123 crore due to ‘strong’ demand from Indian original equipment manufacturers of utility vehicles, medium and large-sized commercial vehicles, the two-wheeler segment and after-market sales. “With the impact of raw material price movement and higher wage cost, the management is focusing on areas to mitigate the inflationary challenge. Demand... is likely to remain favourable in the current year,” said Rane Group chairman L. Ganesh.

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Printable version | Apr 10, 2020 9:20:00 AM | https://www.thehindu.com/business/rane-brake-net-falls-10-on-costs-forex/article24505834.ece

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