Coimbatore-based Salzer Electronics Ltd, in which engineering giant L&T has  a significant stake, has posted a 14 per cent increase in net income in Q3 of the current fiscal compared to the same period last year.

The company expects to maintain the growth momentum in view of the macro economic recovery and the Government’s growth agenda.

In a release, SEL said net sales increased to ₹67.43 crore in the quarter ending December 31, 2014, as compared to ₹58.96 crore in Q3FY14. The profit after tax, however, fell to ₹2.20 crore (₹2.25 crore). The EPS for the quarter was ₹2.14 (₹2.19).

In the first nine months of the current fiscal, the company recorded a 15 per cent increase in net sales at ₹200.38 crore as against ₹174.13 crore in the corresponding nine months in the earlier financial year. Net profit grew by 33 per cent to ₹8.62 crore in the first nine months of 2014-15 (₹6.49 crore).

While switchgears accounted for 55 per cent of the revenue at ₹110.74 crore, cables contributed 40 per cent of the income at ₹80.12 crore and toroidal transformers contributed ₹9.50 crore (5 per cent) in the nine-month period in the current year.

D Rajesh Kumar, JMD and CFO of SEL, said because of the robust market conditions, SEL has shown a consistently steady performance in the last few quarters. The export market remained `supportive and encouraging’ to maintain 20 per cent export growth.

He said the stabilisation of input costs and cost effective measures taken by SEL were also helpful. He felt the macro economic recovery and the Government’s `growth oriented agenda’ also would aid robust growth.

The promoter and promoter group hold 30.38 per cent stake in the equity of the company. Larsen & Toubro holds 26.06 per cent stake in the company.

SEL shares are down by ₹ 9.60 to ₹219 on the BSE.

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