Pitti Engineering has reported that its net profit in the September quarter was down 23 per cent at ₹10 crore against ₹13 crore logged in same period last year, largely due to supply chain challenges.
Income increased 26 per cent ₹305 crore (₹242 crore). Overall expenses jumped 29 per cent to ₹290 crore (₹225 crore).
Capacity utilisation was at 71 per cent during the quarter. The order book and forecast stands at ₹881 crore as of September-end
Akshay Pitti, Managing Director and interim CFO said the supply chain challenges are easing across the value chain, both for inward and outward materials. This coupled with softening of raw material prices will result in lower inventory levels and working capital requirements, reducing the net debt level significantly over the next couple of quarters, he added.
“We are seeing resilient demand for our products across end-user industries despite global macro-economic headwinds. Our developmental orders pipeline is continuously growing with increasing contributions from Railways, Renewable Energy and Electric Vehicle-related products, he added.
Pitti Engineering is a manufacturer of Electrical Steel Laminations, Sub-Assemblies for Motor and Generator Cores, Die-Cast Rotors and Machined Casted and Fabricated parts and Shafts.
The company supplies a wide range of products to vastly diversified end-user segments such as Freight Rail, Passenger Rail, Mass Urban Transport, Hydro & Thermal Generation, Windmill, Mining, Cement, Steel, Sugar, Construction, Lift Irrigation, Appliances, Medical Equipment, Oil & Gas and various several other industrial applications.