Auto parts major, Wheels India Ltd, has registered a net profit of ₹12.58 crores for the quarter ended December 31, 2023 when compared with ₹15.36 crore recorded in the year-ago quarter.
“The profits in Q3 were impacted by low demand in the tractor and mining wheel segments and by the floods that affected our Padi plant in the first week of December. There was no power for a week at our plant in Padi, and we were not able to run it to full capacity in that period,” said Srivats Ram, MD, Wheels India Ltd.
Revenues of the company grew 11.1 per cent to ₹1,131 crore as against ₹1,018 crore,” said a statement.
The revenue growth in Q3 was driven by a strong recovery in exports. The company registered export revenues of ₹307 crore in the December 2023 quarter when compared with ₹205 crore in the December 2022 quarter.
Despite the slowing down of the economy in some geographies, we managed to grow our exports for the 4th consecutive quarter. When compared to Q3 of last year, growth came in the machining of castings for windmills and hydraulic cylinders, apart from aluminium wheels, said Ram.
On the near-term outlook, he said, “While the global economy is likely to slow down next year, we are hopeful of continuing to grow our exports. On the domestic front, we expect the Indian economy to show reasonable growth post-elections.”