Exide Industries PAT up 38 % owing to cost control measures

Exide Industries announced its quarterly results on Wednesday. It is a storage battery producing company in India. It manufactures automotive and industrial lead-acid batteries. It showed a good growth in EBITDA and net profit year on year (YoY). Technology upgradation and cost control remain an important part of company's strategy to improve the bottom-line. 

On financial front, the consolidated net revenue from operations of Exide reached to Rs 1525 crores in Q3FY16 compared to Rs 1557 crores in Q3FY15, a decrease of 2.05 per cent year on year (YoY). The EBITDA stands at Rs 242 crores this quarter compared to Rs 180 crores in Q3FY15, an increase of 34.44 per cent YoY. The EBITDA margin of company stands at 15.86 per cent this quarter compared to 11.56 per cent in Q3FY15. The net profit for period stands at Rs 134 crores compared to Rs 97.23 crores in Q3FY15, an increase of 37.81 per cent YoY. 

The nine month ending consolidated net revenue from operations decreased by 3.17 per cent and reached to Rs 5062 crores compared to Rs 5228 crores for the same period last year. The net profit for nine month period stands at Rs 445 crores compared to Rs 408 crores, an increase of 9.06 per cent from the same period last year.
  
During the quarter there was no significant improvement in demand for automotive Original Equipment Manufacturer (OEM) and industry battery, including demand for inverter battery as well as for power, telecom and solar battery. However, growth in automotive and motorcycle battery replacement sale, has continued during this quarter. The scrip of company is trading at Rs 120.40,  a decrease of 3.68 per cent from previous close.

Exide is a manufacturer of lead acid storage batteries for automotive and industrial applications. The Company's business segments include Storage Batteries & allied products; Solar Lantern & Homelights; and Life Insurance business. The Company markets its industrial batteries to the domestic market, under Exide, SF and CEIL brands, and its international brands for industrial batteries include CEIL, Chloride and Index.