Amara Raja Batteries reports a 3.7% increase in Q4 revenues in FY22, PAT down by 49% YoY, Auto News, ET Auto

Amara Raja Batteries reports a 3.7% increase in Q4 revenues in FY22, PAT down by 49% YoY
New Delhi: Energy and Mobility enterprise and one of the largest manufacturers of energy storage products for both industrial and automotive applications in the Indian battery industry, Amara Raja Batteries Limited recently reported revenue grew 3.7% YoY. The revenue for Q4 FY 22 stood at INR 2,180.70 crores as compared to INR 2,102.70 crores during Q4 FY 21.

According to the company, the profit before tax stood at INR 132.49 crores for Q4 FY 22 as compared to INR 258.79 crores during Q4 FY 21. However, the profit after tax (PAT) was down 49% YoY at INR 132 crore as against INR 259 crore in Q4FY21, a regulatory filing of the company stated.

Addressing the recent challenges, Harshavardhana Gourineni, Executive Director, Lead Acid Business, added “We have successfully overcome the temporary hurdles in the supply chain in the past year, and are well set to make the most of new opportunities.”

In Q4, the company’s earnings before interest, taxes, depreciation, and amortization (Ebitda) declined by 31% year on year (YoY) to INR 220 crore due to lower-than-expected revenue and delay in passing on commodity inflation, it reported.

Jayadev Galla, Chairman & Managing Director, Amara Raja Batteries said “We are steadfast in our long-term strategy of Energy and Mobility leadership, and are building upon our strength to expand our global footprint for the lead-acid battery business, while at the same time making very good progress in the viable new energy technologies space.”

However, it recorded robust demand in the automotive sector from the replacement and export markets, though OEM sluggishness continued due to their manufacturing constraints. Industrial battery volumes have shown healthy growth, especially in the UPS, telecom, and export segments.

Commenting on the future focus of the company, Vikramadithya Gourineni, Executive Director, New Energy Business, said “After making a series of strategic investments to accelerate the development of cell chemistry and pack solutions, we are fast-tracking the establishment of a greenfield customer qualification plant for the manufacturing of Lithium Cells.”

The company supplies automotive batteries under OE relationships to Ashok Leyland, Ford India, Honda, Hyundai, Mahindra & Mahindra, Maruti Suzuki, and Tata Motors. The company’s Industrial and Automotive Batteries are exported to countries in the Indian Ocean Rim.

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The company’s consolidated revenue from operations in Q4 FY22 stood at INR 2,415 crore as against INR 2,2238 crore in the same year ago quarter.

Total revenue of the company stood at INR 157 crore in Q4, up 3%, compared to INR 152 .4 crore in the same quarter in FY21.