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Auto components major Bharat Forge Ltd on Wednesday reported a 77.8 per cent rise in consolidated net profit at ₹227.12 crore in the fourth quarter ended March 31, 2024, riding on higher sales.
The company had posted a consolidated net profit of ₹127.74 crore in the corresponding period of the previous fiscal, Bharat Forge Ltd (BFL) said in a regulatory filing.
Consolidated revenue from operations during the quarter under review stood at ₹4,164.21 crore as against ₹3,629.05 crore in the year-ago period, it added.
Total expenses in the fourth quarter were higher at ₹3,843.55 crore as compared to ₹3,469.05 crore in the same period a year ago.
The Board of Directors at its meeting held on May 8, 2024, recommended a final dividend of ₹6.50 per equity share of the face value of ₹2 for the financial year ended March 31, 2024, subject to approval of shareholders at the ensuing annual general meeting, BFL said.
For the fiscal ended March 31, consolidated net profit was at ₹910.16 crore as compared to ₹508.39 crore in the previous fiscal, it added.
Consolidated revenue from operations in FY24 was at ₹15,682.07 crore as against ₹12,910.26 crore in FY23, the filing said.
BFL Chairman & Managing Director BN Kalyani said The company ended the year on a strong note.
"A key driver of the strong performance was the fulfilment of defence export orders won by KSSL (Kalyani Strategic Systems Ltd) and the continued strong ramp-up of exports business across all business segments, except oil & gas," he added.
In FY24, the Indian operations have secured new orders worth ₹1,350 crore across automotive and industrial applications. This includes a healthy mix of existing and new customers across traditional and new products, Kalyani said.
In the automotive business, Bharat Forge said FY24 was a year of consolidation for the MHCV (medium and heavy commercial vehicle) industry in India after two years of spectacular growth and the company too saw mild revenue accretion in its CV (commercial vehicles) business.
Stating that it continues to aim for growth which is in-line with the market, BFL said, "The market is likely to see more activity as the election process concludes and capex spend accelerates." CV export business remained steady in FY24 with revenue up 8.5 per cent year-on-year (YoY). Order backlog, inventory and cancellation rates remain at reasonable levels, BFL said.
On the other hand, the domestic industrial segment saw revenue rise 72 per cent in FY24. The sharp rise was driven by the supply of components and products for defence applications, it added.
On the outlook, Kalyani said, "At a consolidated level, we expect FY25 to be a year of growth driven by defence business, industrial casting business and continued improvement in capacity utilisation of the overseas business. "The turnaround of the overseas business coupled with margin improvement in other business verticals should result in strong growth in profitability in FY25."
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