Tier 1 supplier Motherson Sumi Systems (MSSL) has announced its financial results for Q1 FY2021, with revenue of Rs 8,431 crore (-49%), and net loss of Rs 810 crore, compared to a profit of Rs 332 crore for the same period last year.
The company says just like the overall industry, its Q1 FY2021 results was severely impacted by Covid-19 pandemic, and hence the results are not comparable with previous periods. The Tier 1 supplier says it has gradually ramped up production globally with 84 percent of its plants are running at more than 50 percent capacity. It expects a strong demand for Q2 FY2021, and is also optimistic by consistent improvement of its Greenfields plants (SMP).
Commenting on results, Vivek Chaand Sehgal, chairman, Motherson Sumi Systems said “Coronavirus pandemic has created unprecedented challenges for the global automotive industry. Lockdown in various parts of the world severely dented demand for automobile sector in the first quarter of the fiscal. Our topmost concern and focus during this period were the well-being and safety of our employees across all our plant locations and we worked on a war footing to put robust safety protocols in place. We thank our team members globally who worked very hard under these challenging conditions to ensure uninterrupted supplies to our customers.”
“However, even though first quarter was a wash out, economies have started witnessing green shoots of recovery. Our teams and plants across the globe have also resumed operations and are working closely with our customers to fulfil their requirements. We now expect demand for the auto industry to gain momentum in the coming quarters of this fiscal year,” concluded Sehgal.
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