Bosch Ltd, the Indian subsidiary of German technology and engineering giant Robert Bosch GmbH, has reported an impressive 75% increase in its net profit for the financial year 2024. This significant growth is largely attributed to a one-time gain from the sale of its mobility business during the year. The company’s net profit for the fourth quarter also saw a substantial rise of 41% year-on-year.
For the financial year, Bosch Ltd’s standalone net profit soared to Rs 2,491 crore, up from Rs 1,425 crore in FY23. The company benefitted from a one-time gain of Rs 844 crore, primarily due to the transfer of its Project House Mobility Solutions business to Bosch Mobility Platform and Solutions India Pvt Ltd, as well as the reversal of some restructuring provisions made earlier.
Revenue from operations for the year increased by 12% to Rs 16,727 crore, with approximately 86% of the company’s revenue stemming from its automotive business. The mobility business sector alone saw an 11.1% rise in product sales during FY24, driven by a 4.8% growth in the overall automotive sector.
“We concluded FY23-24 with a strong performance and considerable revenue growth, despite multiple headwinds that plagued the industry. The resilient uptick was fueled by increased demand for passenger cars and consumer goods product segment,” said Guruprasad Mudlapur, Bosch Group India President and Managing Director of Bosch Ltd.
For the quarter ended March 2024, Bosch Ltd reported a net profit of Rs 564.5 crore, up from Rs 399 crore in the corresponding quarter of the previous year. Revenue from operations for the quarter rose by 4.2% to Rs 4,233.4 crore, while other income nearly doubled to Rs 226 crore from Rs 136 crore in the year-ago period. The mobility business also grew by 2.7% during the quarter.
In addition to these financial results, Bosch Ltd’s board has recommended a final dividend of Rs 170 per share for the financial year 2024. Furthermore, the board approved the sale of its OE/OES Diagnosis Business from Mobility Aftermarket to ETAS Automotive India Pvt Ltd, a wholly-owned subsidiary of Robert Bosch Investment Nederland B.V., for a minimum cash consideration of Rs 45.6 crore, subject to a purchase price adjustment up to the closing date. This transaction is expected to be finalized by June 30.
Bosch Ltd’s strong financial performance and strategic business decisions underscore its resilience and adaptability in a challenging market environment, positioning the company for continued growth in the future.
