Rane (Madras) Ltd records Q4 consolidated a net loss at Rs 9.4 cr

Chennai: Rane (Madras) Ltd on Thursday reported a consolidated net loss of Rs 9.4 crore for the January-March 2024 quarter on account of a drop in sales volume.

The city-based manufacturer of steering and suspension products recorded a consolidated net profit of Rs 9.5 crore during the corresponding quarter last year. Total revenue during the quarter under review slipped to Rs 519.3 crore compared to Rs 630.1 crore in the same period last fiscal.

The consolidated profit after tax declined to Rs 3 crore from Rs 30 crore in the same period of the last financial year. For the year ending March 31, 2024 the consolidated total revenue fell to Rs 2,243.5 crore as against Rs 2,372.3 crore in the same period last year.

In a statement, the company said the sales to domestic original equipment customers dropped by 9 per cent, due to a decline in volume in medium and heavy commercial vehicle and tractor segments. Exports declined by 10 per cent while sales to domestic aftermarket customers grew by 1 per cent.

The Earnings Before Interest, Depreciation, and Amortisation (EBITDA) declined by 579 basis points on account of lower absorption of fixed cost due to sales drop, certain one-off provisions and foreign exchange gain in January-March 2024 quarter, the company said.