Bangalore, 4 August 2016: The Board of Directors of Tube Investments of India Limited (TII) met today and approved the financial results for the quarter ended 30th June, 2016.
Standalone Results
TII’s Revenue for the quarter was higher by 6% at `1146 Cr. as against `1076 Cr. for the corresponding quarter in the previous year. The profit before interest and tax for the quarter was at `88 Cr. as against `62 Cr. for the corresponding quarter in the previous year. The PAT for the quarter was higher by 135% at `42 Cr. as compared to `18 Cr. for the corresponding period in the previous year.
Mr. L. Ramkumar, Managing Director said, “The pickup in all segments of the Auto Sector and reduction in finance charges due to loan repayments helped the Company record a PBT of `64 Cr. as against `27 Cr. for the corresponding quarter in the previous year, a growth of 135%”
Review of Businesses
Cycles and Accessories
This division has registered volume growth of 6% in Trade and drop in Institution, resulting a overall drop of 2% during the quarter compared with corresponding quarter in the previous year. Hence revenue of this division was flat during the quarter. Profit before Interest and Tax for the quarter was `23 Cr. as against `29 Cr. for the corresponding quarter in the previous year.
Engineering
This division has registered volume growth of 19% in precision tubes during the quarter compared with corresponding quarter in the previous year. The new plant set up at Tiruttani improved its output and profitability. Profit before Interest and Tax for the quarter was `41 Cr. as against `18 Cr. for the corresponding quarter in the previous year.
Metal Formed Products
This division has registered volume growth in all product segments compared with corresponding quarter in the previous year. Profit before Interest and Tax for the quarter was `20 Cr. as against `18 Cr. for the corresponding quarter in the previous year.
Key Results of Subsidiary and Joint Venture Companies
Cholamandalam Investment & Finance Company Ltd, a financial services subsidiary, in which the Company holds 46.25% stake, disbursed `4561 Cr. during the quarter compared to `3508 Cr. in the corresponding quarter of the previous year. Consolidated Profit after Tax (PAT) for the quarter was at `167 Cr. against `111 Cr. for the corresponding quarter in the previous year, registering a growth of 50%.
Cholamandalam General Insurance Company Ltd., a Joint Venture Entity in general insurance business, in which the Company holds 60% stake, registered a Gross Written Premium (GWP) of `652 Cr. during the quarter as against `480 Cr. a growth of 36%. PAT for the quarter was at `49 Cr. as against `26 Cr. compared with corresponding quarter in the previous year.
Shanthi Gears Ltd., a subsidiary company in the Gears Business, in which Company holds 70.12% stake, registered a revenue growth of 11% for the quarter compared with corresponding quarter of the previous year. The revenue for the quarter was `46 Cr. as against `42 Cr. for the corresponding quarter in the previous year. PAT for the quarter was at `5 Cr. as against `1 Cr.
About Murugappa Group
Founded in 1900, the INR 295 Billion Murugappa Group is one of India's leading business conglomerates. The Group has 28 businesses including nine listed Companies traded in NSE & BSE. Headquartered in Chennai, the major Companies of the Group include Carborundum Universal Ltd., Cholamandalam Investment and Finance Company Ltd., Cholamandalam MS General Insurance Company Ltd., Coromandel International Ltd., Coromandel Engineering Company Ltd., E.I.D. Parry (India) Ltd., Parry Agro Industries Ltd., Parry Sugar industries Ltd, Shanthi Gears Ltd., Tube Investments of India Ltd., and Wendt (India) Ltd.
Market leaders in served segments including Abrasives, Auto Components, Transmission systems, Cycles, Sugar, Farm Inputs, Fertilisers, Plantations, Bio-products and Nutraceuticals, the Group has forged strong alliances with leading international companies such as Groupe Chimique Tunisien, Foskor, Mitsui Sumitomo, Morgan Advanced Materials, Sociedad Química y Minera de Chile (SQM), Yanmar & Co. and Compagnie Des Phosphat De Gafsa (CPG). The Group has a wide geographical presence all over India and spanning 6 continents.
Renowned brands like BSA, Hercules, Montra, Ladybird, Mach City, Ballmaster, Ajax, Parry’s, Chola, Gromor, Shanthi Gears and Paramfos are from the Murugappa stable. The Group fosters an environment of professionalism and has a workforce of over 32,000 employees. For more details, visit www.murugappa.com