Rane Engine Valve Ltd has reported a stellar second-quarter performance, with its net profit surging nearly four-fold to ₹34.6 crore. The company’s revenue from operations grew 27.4% to ₹244.8 crore. The significant increase in profit was driven by improved operational efficiency, higher sales volume, and better product mix.
“We’re pleased with our Q2 performance, which reflects our focus on delivering high-quality products and services,” said L. Ganesh, Chairman, Rane Group. “Our efforts to enhance operational efficiency and reduce costs have yielded positive results.”
Rane Engine Valve’s operating margin expanded 410 basis points to 14.1%, driven by improved productivity and lower raw material costs. The company’s sales volume grew 25% year-on-year, driven by strong demand from domestic and international customers.
Rane Engine Valve supplies engine valves to leading automotive manufacturers, including Maruti Suzuki, Hyundai Motor India, and Ford India. “The automotive industry’s shift towards BS-VI emission norms has driven demand for our products,” said Ganesh. “We’re well-positioned to capitalize on emerging opportunities in the industry.”
The company has invested in research and development to enhance its product offerings and expand its customer base. “Our focus on innovation and quality has enabled us to maintain our market leadership,” said Ganesh. “We’re committed to delivering sustainable growth and enhancing stakeholder value.”
Rane Engine Valve’s strong Q2 performance has boosted investor confidence, with the company’s shares rising 5% on the BSE. Analysts view the company’s performance as a testament to its ability to adapt to changing industry dynamics.
“Rane Engine Valve’s Q2 performance demonstrates its resilience and ability to deliver strong growth,” said Amit Khosla, research analyst at HDFC Securities. “The company’s focus on operational efficiency and innovation will drive its future growth.”
As the automotive industry continues to evolve, Rane Engine Valve’s commitment to quality, innovation, and customer satisfaction is expected to drive its success. With its strong Q2 performance, Rane Engine Valve has reaffirmed its position as a leading player in the engine valve market, poised for continued growth and innovation.
The company’s outlook for the remaining fiscal year remains positive, driven by strong demand from the automotive industry and its expanding product portfolio. “We’re optimistic about our growth prospects, driven by our focus on innovation, quality, and customer satisfaction,” said Ganesh.
