Greaves Cotton's Q2 net nearly doubles

Greaves Cotton Ltd, one of India's leading engineering companies, has reported 91% increase in its net profit at Rs 52.24 crore for the quarter ended September 30, 2015 as compared to Rs 27.29 crore for the corresponding quarter last year.

Total income from operation of the company declined marginally to Rs 424.73 crore for the second quarter of the current financial year as compared to Rs 441.29 crore for the same quarter last year. The company's EBIDTA margin stood at Rs 75.87 crore for the September quarter this year, an increase of 35% from Rs 56.23 crore in the same period last year. EBIDTA margins also moved up to 17.9% in the period under consideration from 12.8% in the July -September quarter last year.

Commenting on the performance, Sunil Pahilajani, managing director and chief executive officer of the company said, "While the revenue growth is still a concern on account of weak market conditions, various operational excellence initiatives have started yielding results and has been reflected in the EBITDA Margin improvement from 12% in first six months last year to 17% in first half this year".

The company has showcased its modern 105 HP three-cylinder, BSIV compliant, 'Leap Engine' for automotive applications at recent Society of Automotive Engineers- China Congress & Exhibition at Shanghai, China which offers attractive value proposition to our valued other equipment manufacturers (OEMs). The thrust on farm equipment sector continued with launch of indigenized mini power tiller and paddy weeder, he added.