Rane Holdings Surges with 5.28% Revenue Growth in Q2 FY24

Rane Holdings Surges with 5.28% Revenue Growth in Q2 FY24

Business |Financials

Chennai-based Rane Holdings reports a robust 5.28% increase in Q2 FY24 revenues, reaching Rs 930.5 crore, driven by strong performance in both domestic and international markets. The company's net profit soars by 119% to Rs 51.1 crore.

855 views | Date: November 10, 2023

Chennai, India- Rane Holdings Limited has reported a 5.28% increase in Q2 FY24 revenues, reaching Rs 930.5 crore compared to Rs 883.8 crore in Q3 FY23. The EBITDA (Earnings before interest, taxes, depreciation, and amortization) for Q2 FY24 was Rs 72.7 crore, reflecting an 8.7% increase from Rs 66.8 crore in Q2 FY23. The EBITDA margin also grew to 7.8%, up from 7.6% in Q2 FY23. The net profit for the quarter was Rs 51.1 crore, marking a significant 119% increase from Rs 23.3 crore in Q2 FY23.

L Ganesh, Chairman and MD of Rane Holdings, said that Rane Group companies continued to benefit on account of a favourable demand environment in India and strong pull from export customers. The group companies are working on several operational improvement initiatives to enhance efficiencies. Though we remain positive about the demand environment, given the dynamic macro and geopolitical situation we are working closely with our customers and focusing on operational improvements.

The revenue growth is credited to strong performance from Indian customers across vehicle segments, leading to a 16% YoY increase in revenue for Rane. International customer revenues also rose by 20%, driven by increased demand in steering, valvetrain, light metal castings, and occupant safety products. Additionally, aftermarket revenues for Rane Holdings saw a 5% YoY increase in Q2 FY24.

For the first half of the fiscal year, Rane Holdings reported a consolidated revenue growth of 7.2%, amounting to Rs 1,828.2 crore compared to Rs 1,704.9 crore in H1 FY23. The EBITDA for H1 FY24 was Rs 153.6 crore, reflecting a 23.1% increase from Rs 124.8 crore in H1 FY23. The EBITDA margin for the April to September 2023 period was 8.4%. The net profit for H1 FY24 stood at Rs 63.2 crore, marking a 43.8% increase from Rs 43.9 crore in H1 FY23.