Export demand firm for BIL, depreciating rupee to add to revenue growth

While growth momentum has been strong, what has helped the company perform better than peers in the June quarter is its reliance on overseas markets

Even as peers will witness a sharp sequential decline in the June quarter, the only pure play auto ancillary exporter in India, Balkrishna Industries (BIL), is expected to be the standout performer in the quarter led by higher tyre exports. Moreover, sales outlook for the key segments of agriculture and off-the-road (OTR) tyres too, remains robust. A depreciating rupee should also help the exporter post better revenue growth rates than peers going ahead.

Industry export data for May, the last month for which data is available,  points to an 85 per cent y-o-y growth in the OTR segment, while the