Business

Wheels India posts Q4 net of ₹25.5-cr. as revenue rises 57%

Auto parts maker Wheels India on Friday reported a standalone fourth-quarter net profit of ₹25.54 crore, as against a profit of ₹4.62 crore in the year-earlier period, and said it expects demand for tractors to be stable as all the major factors driving rural demand continue to remain strong despite the second wave of the pandemic.

“If the rural side gets hit, definitely there will be an impact [on tractor sales] but if you look at all the factors that drive demand, they are still very strong,” Srivats Ram, MD, Wheels India said.

“The MSPs [minimum support prices] are strong, the water levels are fairly good, there is an expectation of good to normal monsoon, finance availability is there for the segment,” he said. “So, given all these factors we believe that demand for tractors will continue to at least be stable if not strong,” he added.

“One domestic segment that has done outstandingly well last year is the agricultural tractors business,” Mr. Ram said, addressing a virtual press conference to announce the financial results. “We saw fairly strong growth in the tractor industry, and we were able to grow our business not only in the domestic but also in the exports market,” he added.

Standalone revenue grew by 57% from a year earlier to ₹853 crore (₹545 crore) in the January-March quarter.

Mr. Ram said that the contribution of exports to total sales rose to 25% in the full financial year, from 20% in the previous fiscal period.


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Printable version | Jul 31, 2021 10:43:47 AM | https://www.thehindu.com/business/wheels-india-posts-q4-net-of-255-cr-as-revenue-rises-57/article34618031.ece

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