The company announced that its sales to domestic OE customers declined by 10% due to lower offtake from the commercial vehicle sector. Steering and suspension products maker Rane (Madras) recorded a 61% drop in standalone net profit for Q2FY25 at INR 2.8 crore, down from INR 7.2 crore in Q2FY24. Total revenue was INR 531.4 crore for Q2FY25 down just over 7% over the INR 573 crore clocked in the year ago period.
EBITDA stood at nearly INR 40 crore for Q2FY25 compared to INR 52.6 crore during Q2FY24, a decrease of 24.5%. EBITDA margin shrank by 171 bps to 7.5% as against 9.2% last Q2.
In terms of consolidated performance, the company's net loss stood at INR 70 lakh for Q2FY25 compared to a net profit of nearly INR 18 crore in Q2FY24.
Total revenue was nearly INR 531 crore for Q2FY25 compared to INR 612 crore in the Q2FY24, a decrease of 13.3%. EBITDA stood at INR 37.4 crore up 15% from the INR 32.5 crore clocked in Q2FY24. EBITDA margin at 7.1% for Q2FY25 up 174 bps compared to the 5.3% clocked in Q2FY24.
The company announced that its sales to domestic OE customers declined by 10% due to lower offtake from the commercial vehicle sector. Also export sales declined by 6% due to lower off-take of steering products particularly in the ATV segment. Add to that sales to Indian aftermarket customers also showed muted growth.
All of this contributed to the drop in net profits. The company also said that its EBITDA margin declined by 171 bps as lower material cost was offset by certain one-off provisions.
