Global Tier 1 component supplier Varroc Engineering announced its financial results. In Q4 FY2019 the company reported revenue from operations at Rs 3,153 crore, up 5.7 percent YoY, EBITDA at Rs 315 crore, up 19.6 percent YoY, and PAT at Rs 150 crore, up 5.1 percent YoY.
For the financial year 2019, the company's revenue came at Rs 12,036 crore, an increase of 16 percent YoY, EBITDA at Rs 1,154 crore, a 25.7 percent growth compared to same period last year, and PAT at Rs 449 crore, down by 0.2 percent YoY, on the back of a challenging conditions across its global business, and in India specifically during the last quarter.
Tarang Jain, MD, Varroc Engineering said, "This is an encouraging result amid many macro challenges and tough business environment. Indian two-wheeler industry declined by 10 percent in the quarter. Some of the customers for our VLS (Varroc Lighting Solutions) business reported weaker numbers in the quarter. Our performance was however not only the best sequentially this year but also the profit after tax was higher as compared to Q4 FY18. Our business wins have been encouraging this year in both of our businesses. At VLS we won highest ever annual business from key OEMs and in India we won sizable orders with new and existing customers. We continue to remain confident about future for both of our core businesses.”
In terms of updates, the company says its Morocco plant which begin first phase of production in February 2019, the construction for Phase II of the plant progressing well. For Varroc's Poland plant the construction activity is on track and it is likely to start shipping its first order in FY2020.
Also read: Varroc Engineering revenue at Rs 2,955 crore, up 16.3% in Q3 FY19
Varroc Engineering posts Rs 100.9 crore profit in Q2 FY2019, up 9%
Varroc reports revenue of Rs 2,927 crore in Q1 FY2019, up by 20.2%
Varroc Lighting Systems opens new R&D centre in Poland