Bangalore, 3 November 2016: The Board of Directors of Tube Investments of India Limited (TII) met today and approved the financial results for the quarter ended 30th September, 2016.
Standalone Results
TII’s Revenue for the quarter was higher by 2% at INR1062 Cr. as against INR 1038 Cr. in the corresponding quarter of the previous year. The profit before interest and tax for the quarter was at INR 88 Cr. as against INR 73 Cr. in the corresponding quarter of the previous year. The PAT for the quarter was higher by 113% at INR 54 Cr. as compared to INR 25 Cr. in the corresponding quarter of the previous year.
Mr. L. Ramkumar, Managing Director said, “During the quarter, Auto Industry registered a growth of 11% in passenger vehicles and 14% in two wheeler segment. The Company’s export turnover grew by 72% over corresponding quarter in the previous year. This leads to 113% growth in PAT in the current quarter compared with the corresponding quarter of the previous year”
Review of Businesses
Cycles and Accessories
This division has registered volume drop of 27% due to drop in trade volumes as well as Institution sales. During the quarter, the industry degrew by 22%, largely affected due to unprecedented floods in East and North East. Profit before Interest and Tax for the quarter was INR 6 Cr. as against INR 21 Cr. in the corresponding quarter of the previous year.
Engineering
This division has registered revenue growth of 5% in domestic market and 103% in the exports during the quarter compared with the corresponding quarter of the previous year. Profit before Interest and Tax for the quarter was INR 43 Cr. as against INR 25 Cr. in the corresponding quarter of the previous year.
Metal Formed Products
This division has registered volume growth in all product segments compared with corresponding quarter in the previous year, largely due to the Auto industry growth. Profit before Interest and Tax for the quarter was INR 27 Cr. as against INR 21 Cr. in the corresponding quarter of the previous year.
Key Results of Subsidiary Companies
Cholamandalam Investment & Finance Company Ltd, a financial services subsidiary, in which the Company holds 46.23% stake, disbursed INR 4444 Cr. during the quarter compared to INR 3671 Cr. in the corresponding quarter of the previous year. Consolidated Profit after Tax for the quarter was at INR 168 Cr. as against INR 122 Cr. in the corresponding quarter of the previous year, registering a growth of 37%.
Cholamandalam MS General Insurance Company Ltd., a subsidiary in general insurance business, in which the Company holds 60% stake, registered a Gross Written Premium (GWP) of INR 824 Cr. during the quarter as against INR 612 Cr. in the corresponding quarter of the previous year, a growth of 35%. Profit after Tax (PAT) for the quarter was at INR 52 Cr. as against INR 32 Cr. in the corresponding quarter of the previous year, registering a growth of 65%.
Shanthi Gears Ltd., a subsidiary company in the Gears Business, in which Company holds 70.12% stake, registered a revenue growth of 8% for the quarter compared with corresponding quarter of the previous year. The revenue for the quarter was INR 51 Cr. as against INR 47 Cr. in the corresponding quarter of the previous year. PAT for the quarter was at INR 7 Cr. as against INR 6 Cr in the corresponding quarter of the previous year.
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 QuÃmica 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