Schaeffler India, a prominent industrial and automotive supplier renowned for brands like LuK, INA, and FAG, has reported a standalone net profit of Rs 227.67 crore in the fourth quarter of FY24, marking a 3.8% increase compared to Q4 FY23. The company also recorded a commendable 9.2% rise in net sales, reaching Rs 1,849.22 crore for the same period.
Total operating expenditure for the quarter amounted to Rs 1,514 crore, reflecting a 9.8% year-on-year increase. This escalation primarily stemmed from higher raw material costs, other expenses, and employee costs, which rose by 8.7%, 9.8%, and 6.9% respectively. Additionally, interest costs witnessed a 17.5% year-on-year rise, while depreciation charges increased by 6.1% during Q4 FY24. Despite these challenges, the company’s profit before tax for the quarter stood at Rs 305.64 crore, up by 3.9% from the previous year.
For the entire fiscal year 2024, Schaeffler recorded a net profit of Rs 912.50 crore, marking a 5.1% year-on-year increase, along with revenues of Rs 7,226.13 crore, reflecting a 5.2% year-on-year growth.
Harsha Kadam, Managing Director of Schaeffler India, expressed satisfaction with the strong year-on-year growth in the domestic business during the initial months of 2024. Despite seasonality impacting some sectors, Kadam highlighted the resilience of margins for the quarter. Additionally, Kadam remained cautiously optimistic about navigating the challenging and volatile macroeconomic environment, particularly emphasizing the rebound in intercompany exports for the quarter.
Schaeffler India boasts a robust presence with 3 well-known product brands, 4 manufacturing plants, and 8 sales offices. The company also maintains the largest aftermarket networks serving industrial and automotive customers.
Despite the positive financial performance, the company’s scrip fell by 1.25% to currently trade at Rs 3232.25 on the BSE. Schaeffler India’s continued growth trajectory underscores its resilience and strategic positioning in the industrial and automotive sectors, as it navigates through dynamic market conditions.
