Sundram Fasteners Q4 standalone net up almost five-fold at Rs 75 cr

Standalone revenue up 17.3% to Rs 720 cr on sharp increase in aftermarket sales

Sundram Fasteners Limited has reported a 372 per cent growth in standalone net profit, to Rs 75.39 crore during the fourth quarter, as compared to Rs 15.97 crore, a year ago.

Total revenue rose to Rs 720.69 crore from Rs 614.37 crore, up 17.30 per cent.

On a consolidated basis, the company recorded total revenue of Rs 2,641.38 crore in 2015-16 as against Rs 2,409.75 crore achieved during the previous year. Exports stood at Rs 908.12 crore as against Rs 898.71 crore. Domestic sales, net of excise duties were at Rs 1,649.37 crore as against Rs 1,426.33 crore, an increase of 15.6 per cent.

Net profit was at Rs 211.17 crore as against Rs 135.32 crore in the previous year, registering an increase of 56 per cent. The profit is the highest since the company's inception. In addition, earnings per share surged to a new high of Rs 10.05 and net worth crossed Rs 1,000 crore.

There has been a sharp increase in aftermarket sales due to specific initiatives undertaken by the Company. Sundram Fasteners experienced a strong demand for its hot forged parts, powertrain components and wind energy fasteners. The Company through continuous customer engagement and leveraging its manufacturing capability was in a position to fully utilise such opportunities. The above product lines contributed significantly to the growth in sales during the period under review.

The Company is poised to take advantage of the business opportunities due to steady investments in capacity creation over the years. The Company expects an upsurge in the automotive sector in the long run, which augurs well for the performance of the Company, said the company in a statement.