Bosch is trading higher by 3% at Rs 8,525 after reporting 2% year-on-year (yoy) growth in net profit at Rs 252 crore for the second quarter ended June 30, 2013 (Q2). The auto parts and equipment maker had profit of Rs 247 crore in a year ago quarter.
The company’s net sales however grew 5.9% yoy at Rs 2,307 crore, driven by a strong exports growth of 14.1% yoy. On the operating front, EBITDA margins declined 155bp sequentially to 15.7%, lower than analyst expectations of 16.8%.
The performance was impacted due to the INR depreciation against the EUR and also due to increase in staff expenditure on account of annual salary hikes, says analyst at Angel Broking.
Analyst maintain positive view on the long term prospects of BOS due to its technological leadership and strong and diversified product portfolio; however, expect the near-term environment to remain challenging for the company given the continued slowdown in the domestic automotive industry.
The stock opened at Rs 8,475 and hit a high of Rs 8,560 on the Bombay Stock Exchange so far.
The company’s net sales however grew 5.9% yoy at Rs 2,307 crore, driven by a strong exports growth of 14.1% yoy. On the operating front, EBITDA margins declined 155bp sequentially to 15.7%, lower than analyst expectations of 16.8%.
The performance was impacted due to the INR depreciation against the EUR and also due to increase in staff expenditure on account of annual salary hikes, says analyst at Angel Broking.
Analyst maintain positive view on the long term prospects of BOS due to its technological leadership and strong and diversified product portfolio; however, expect the near-term environment to remain challenging for the company given the continued slowdown in the domestic automotive industry.
The stock opened at Rs 8,475 and hit a high of Rs 8,560 on the Bombay Stock Exchange so far.
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