The company narrowed net loss at Rs5.8cr for Q1FY22 compared to a loss of Rs16.3cr in Q1FY21. Total revenue was Rs76cr for Q1FY22 compared to Rs30.5cr in Q1FY21, an increase of 149.0%. EBITDA stood at Rs-2.3cr compared to Rs-16.5cr during Q1FY21. EBITDA Margin at -3.0% for Q1FY22 against -54.1% in Q1FY21.
“Sales to Indian OE customers was impacted by coronavirus second wave’s resultant lockdown and shutdown of OEMs production. Demand from International customers remained robust. Sales to Indian Aftermarket customers was affected due to lockdown in various parts of the country. Drop in EBITDA due to lower volumes and increase in material cost and employee cost,” company said.
“Q1FY22 was an eventful quarter with the country weathering the second wave of coronavirus. REVL plants operated during the quarter with all COVID protocols. Demand environment in India looks encouraging for the upcoming quarter. The commodity price increase remains a concern. Despite the challenges, the management team continues to implement cost reduction and operational improvement initiatives to progress on the turnaround plan,” L. Ganesh, Chairman, Rane Group, said.
At around 9.38 AM, Rane Engine Valve Ltd was trading at Rs344.70 per piece up by Rs3 or 0.88% from its previous closing of Rs341.70 per piece on the BSE.