Aided by a significant increase in the demand from the agriculture sector, the country's leading auto parts company, Bosch Ltd has posted a five-fold increase in net profit to Rs 482 crore for the Q4 of 2020-21 compared with Rs 81 crore during the same period last year.

The company's total income during the quarter rose 40.27 per cent to Rs 3,334.79 crore. The company announced a dividend of Rs 115 per share for the financial year 2020-21. The capex for the current year has been set at around Rs 200 crore which is lower than the Rs 400 crore - Rs 600 crore capex compared with the previous years.

“Despite facing a spell of near-zero sales in the month of April and May in 2020, there has been a significant increase in the demand from the agriculture sector, mainly the tractor business. The industry showed continued signs of recovery since the second quarter of FY 2020-21, however, it remains impacted due to the uncertainties in the market. International market volatilities in the supply chain will also continue to impact the auto sector. Furthermore, we have seen growth in the Power Tools segment, especially in the construction and e-commerce sectors,” said Soumitra Bhattacharya, Managing Director, Bosch Ltd and President of Bosch India in a press statement on Thursday. 

During the FY 2020-21, Bosch Ltd made a provision of Rs 743.8 crores, towards various restructuring, reskilling and redeployment initiatives.

Business development in FY 2020-21

Bosch Limited’s Mobility Solutions business sector increased by 2.4 per cent in 2020-21, amidst lockdown in April and part of May 2020. Domestic sales increased by 1.2 per cent. Within the Mobility Solutions sector, the Powertrain Solutions division registered an increase of 1.8 per cent. Business beyond Mobility solutions has recorded a decline of 11.7 per cent.   

 

 

 

Related Topics
comment COMMENT NOW