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Pitti Engineering has reported that its net profit in the December quarter increased five per cent to ₹12.13 crore, against ₹11.60 crore logged in the same period last year, due to higher sales volume.
Revenue from operations was down 10 per cent at ₹239 crore (₹265 crore).
The board of directors recommended dividend of ₹1.50 a share.
EBITDA increased 13 per cent to ₹37 crore (₹35 crore) with EBIDTA per tonne of ₹42,428 in the quarter.
While revenue was down due to soft raw material prices, sales volume increased to 9,150 tonnes (8,542 tonne).
Capacity utilisation was at 70 per cent during the nine-month period ended last December.
The company has developed laminations for a variety of electric mobility platforms. For large hydro customers, laminations of 1,200 MW and 1,440 MW pump storage machine application were also developed. These machines have a dual purpose of power generation and water pumping.
The company received a new letter of intent for manufacturing parts used in electric vehicles, it said.
It also bagged an order for making shafts used in freight locomotive.
With softening raw material prices and easing supply chain bottlenecks, the company has managed to bring down working capital by ₹86 crore in the December quarter.
Akshay S Pitti, Vice-Chairman and Managing Director, said that despite geopolitical uncertainties and rising inflation across geographies, the Indian economy remains one of the fastest growing. The increased capital investment allocation of ₹1,000 crore in the Budget is expected to add further impetus for business growth, he said. The highest ever capital outlay of ₹2.4 lakh crore for the Indian Railways will benefit the company’s business, he added.
“We are following judicious cost-control measures and focusing on deleveraging our balance sheet further. This will boost the liquidity buffer and expansion plans funded largely through internal accruals,” he said.
The focus on the new components business will see sizeable growth from the next financial year, he said.
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