Engine and electrical equipment maker Cummins India on Thursday reported marginal growth in its after-tax standalone profit to Rs 189.15 crore in the quarter ended March 2022.
The company had posted a standalone PAT (Profit After Tax) at Rs 185.69 crore in the prior year quarter, Cummins India Limited said.
Operating sales amounted to Rs 1,468.5 crore in the fourth quarter of FY22, 8% higher than Rs 1,358.1 crore in the same quarter of the previous fiscal year.
In a statement, the company said domestic sales in the quarter under review rose 7% to Rs 1,046 crore from the same quarter last year, while export sales had jumped 66% to Rs 423 crore from the prior year period.
For the full fiscal year, the company recorded 43% growth in standalone PAT to Rs 888.65 crore from Rs 617.87 crore recorded in FY21.
Total sales for the fiscal year ending March 2022 amounted to Rs 6,026 crore, a growth of 42% from the previous fiscal year, he said.
Domestic sales for FY2021-22 were up 42% to Rs 4,416 crore from FY21, while export sales in the year were up 40% to 1 Rs 610 crore, the company said.
“Cummins India Limited, its associated companies and JV Cummins Generator Technologies India and Valvoline Cummins achieved record annual revenue in FY22. This performance was possible thanks to the focused and dedicated efforts of our partners in the supply chain and the continued strong support of Cummins Inc to help us meet customer demand,” said Ashwath Ram, Managing Director of Cummins India Limited.
He said, “We continue to leverage our globally integrated supply chain to meet supply challenges, and our efforts remain to maintain profitable growth in this difficult inflationary business environment.” After two waves of COVID-19, India’s economy rebounded strongly due to various factors such as mass vaccination and proactive fiscal policy measures, he said.
In addition, pent-up demand was widespread across various segments of the economy. The company believes that despite supply chain disruptions, high raw material costs and geopolitical issues, India is on course for sustained economic recovery given strong domestic demand and export strength, he said.
However, a high level of inflation and associated actions aimed at containing inflation by the government and RBI to raise interest rates could, to some extent, impact demand in the short and medium term, added Ram.
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