Pritika Auto expands tractor component production with ₹11 crore annual order  

Anupama Ghosh Updated - December 04, 2024 at 12:24 PM.

The order comes with a long-term visibility spanning four to five years, signalling a strategic expansion for Pritika Auto Industries

Pritika Group, a leading North Indian precision machined components manufacturer, has commenced commercial production of new components for a major multinational tractor manufacturer, the company announced today.

The shares of Pritika Auto Industries Limited were trading at ₹28.48 up by ₹2.01 or 7.59 per cent on the NSE today at 11.40 am.

The production includes two key components - Intermediate Housing and Axle Housing - with a projected annual business value of approximately ₹11 crores. The order comes with a long-term visibility spanning four to five years, signalling a strategic expansion for the company.

The announcement coincides with positive industry signals, with one leading tractor OEM projecting double-digit growth in the second half of the fiscal year 2025. Pritika Group, which is celebrating its 50th anniversary, has established relationships with major manufacturers including Escorts Kubota, Mahindra & Mahindra, and Ashok Leyland.

The company has recently undertaken financial maneuvers to support growth, including a preferential equity share issue and a right share issuance of up to ₹49.90 crores. CARE Ratings has maintained a stable credit rating for Pritika Auto Industries and Pritika Engineering Components.

The strategic move underscores the company’s commitment to expansion and its strong positioning in the tractor and heavy commercial vehicle components market.

Published on December 4, 2024 06:54

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