Rane Engine Valve reports Q2 revenue up 3.8%; Net loss Rs 2.4 crore

Rane Engine Valve part of the Rane Group, reported its Q2 FY2017-18 results, the revenue stood at Rs 94.1 crore (Q2FY17: Rs 90.6 crore) an increase of 3.8 percent.

The EBITDA margin for Q2 FY2017-18 came at Rs 5.2 crore with margins at 5.5 percent, compared to Rs 2.3 crore and margins at 2.6 percent for the same period last year. For the same quarter it reported loss of Rs 2.4 crore compared to profit of Rs 62.1 crore.

"Rane Engine Valve capitalised on robust demand environment to post revenue growth. We experienced challenges in demand fulfilment owing to delivery bottlenecks in one of our manufacturing facility. We continue to focus on the operational performance with stringent cost control measures. We anticipate strong demand from Indian and International OE customers in the upcoming quarters and would continue to work towards improving our profitability," commented L. Ganesh, chairman, Rane Group.

For Q2 FY2017-18 its operating highlights included – a strong demand from Indian OE customers particularly in the two-wheeler segment and higher offtake from international customers. It continued to experience lower offtake in Indian aftermarket segment, and it continued to focus on improving operational efficiency and cost reduction initiatives. Additionally lowering finance costs had helped it reduce losses for the quarter.