Shanthi Gears third quarter net at Rs 6.09 crore

: Shanthi Gears Ltd, manufacturer of industrial gears, on Monday recorded profit after tax at Rs 6.09 crore for the October-December quarter.

The Tamil Nadu-based Murugappa Group company had clocked net profits atRs 9.84 crore during corresponding quarter of previous year.

For the nine month period ending December 31, 2019 net profits stood at Rs 23.90 crore as against Rs 27.34 crore during corresponding period of last year.

Total income for the quarter under review slipped to Rs 59.59 crore from Rs 64.92 crore registered during year ago period.

For the nine-month period ending December 31, 2019 total income grew to Rs 205.41 crore from Rs 192.10 crore registered same period last fiscal.

A company statement said it continues to focus on four key priorities of revenue growth, profitability, Return on Average Capital Employed, Free Cash Flow.

The company said it generated cumulative operating free cash flow of Rs 42.7 crore during the nine-month period ending December 31, 2019.

Cumulative cash flow to Profits After Tax is 178 per cent, the company said.

The company said during the quarter under review it booked orders for Rs 53 croreas against Rs 73 crore recorded in the corresponding quarter of previous year.

"This is on account of sluggish demand from almost all major user industries due to continued industrial slowdown," it said.

Shanthi Gears said the pending order book as on December 31, 2019 was at Rs 127 crore as against Rs 159 crore recorded previous year.

The company made good strides in the service and replacement market, it said.

Shares of Shanthi Gears Ltd ended at Rs 100.30 apiece, down by 1.96 per cent over the previous close in BSE.