Greaves Cotton Q4 net profit declines 54% at Rs 23.74 crore

Engineering firm Greaves Cotton today reported 54 per cent decline in net profit for the quarter ended March 31 at Rs 23.74 crore due to a fall in revenues.
The company had reported a net profit of Rs 51.56 crore in the corresponding quarter last fiscal.
Its total revenues for the January-March period stood at Rs 393.8 crore as against Rs 435.18 crore in the fourth quarter of FY14, registering a de-growth of nearly 10 per cent.
For the year, Greaves Cotton reported a decline in revenues from Rs 1,735.94 crore in FY14 to Rs 1697.71 crore, while its profit shrunk to Rs 83.63 crore from Rs 123.40 crore in 2013-14.

"While we are still facing pressures on topline growth, our thrust on tightening operational controls is being reflected in improvement in material cost, fixed costs and working capital," its Managing Director and CEO Sunil Pahilajani said.
He further said that the new business from automotive OEMs like TVS Motors has started growing and is expected to strengthen future revenue pipeline.

During 2014-15, the company launched a new range of engines and gensets, which offer better life cycle costs and enhanced value to customers.
"We are also putting significant thrust on improving customer engagement through focused service initiatives, towards which a unified IVR-based toll free number for customer support across all business areas has been put in place.

"In addition, new range of Light Agri Equipment are getting launched in a gradual manner," Pahilajani said.
The company has also discontinued the loss-making manufacturing operations of its construction equipment business during the year.