The Hindu Business Line : Exide posts 39 pc rise in net

EXIDE Industries Ltd (EIL) has reported a 39.23 per cent increase in net profit for the 2003-04 fiscal at Rs 72.86 crore against Rs 52.33 crore in the previous year.

Charged by a sharp growth in demand for batteries, the company has clocked a turnover of Rs 1,219.67 crore during the year, representing an increase of 11.81 per cent as compared to the turnover of the previous fiscal.

The company's board of directors, which met here on Thursday, have recommended a dividend of 40 per cent on the enhanced share capital, which works out to be 80 per cent dividend on the pre-bonus capital. Talking to presspersons, Mr S.B. Ganguly, Chairman of EIL, said the company would be sharpening its focus on the rural market through increased sales of tractor batteries.

"This area remains a huge untapped market. Our studies have shown that the market size could be around 2 million batteries. This is a new area for us and only last year we sold one lakh tractor batteries in rural India," he said.

On the new products that the company was planning to introduce, Mr Ganguly said while expanding its recently-launched range of Exide XPRESS batteries for heavy duty applications to the small car sector, the company would also launch a new range of three-wheeler batteries for diesel-operated vehicles and a heat-resistant battery that could survive a heat of 40 to 45 degree Celsius.

As part of its plans to expand its global presence, the company has just firmed up plans to enter the South African market.

"Although there is a substantial demand for batteries in South Africa, there are only two companies that mostly import batteries from England and other places to distribute locally at high prices. We have just appointed our distributor in South Africa, as we see a huge potential here too, given our range, price and quality, especially in the tractor sector," according to him.