Amara Raja FY24 net profit up 24% YoY; Q4 profit grow 62%

Battery maker Amara Raja Energy and Mobility Ltd reported a 24 percent growth in its net profit for the financial year 2024 on a year-on-year basis on the back of robust improvement in lead acid battery business and new energy Business. The profit for the quarter rose 62% on year, primarily due to a low base.

The Hyderabad-based company’s standalone net profit for the year came in at Rs 905.9 crore, against Rs 730.7 crore. Revenue from operations rose 8.4 percent on year to Rs 11,260.3 crore.

“In the lead acid battery business, strong volume growth momentum continued in both automotive and industrial applications across all customer segments,” the company said. New product launches and brands in the automotive aftermarket and data center segments supported growth.

“New Energy Business clocked 110% growth over the previous year, further cementing our leadership position with our customers,” New Energy business Executive Director Vikramadithya Gourineni said.

EBITDA, or operating profit, during the financial year grew 13 percent on year to Rs 1,621.4 crore. EBITDA margin improved to 14.4 percent from 13.8 percent in FY23. In FY23, the company had recorded a one-time loss of Rs 47.7 crore related to a fire incident at its Chittoor factory, which further boosted the net profit growth rate during FY24.

Meanwhile, for the quarter ended March, Amara Raja’s standalone net profit totaled Rs 228 crore, up from Rs 141 crore in the year-ago period. The profit grew on a low base in the year-ago period as the company had registered the one-time loss of Rs 47.7 crore in that quarter.

Revenue from operations grew 15 percent on year Rs 2,796.73 crore. EBITDA rose 15.5 percent to Rs 407.7 crore, while operating profit margin improved slightly to 14.6 percent from Rs 14.5 percent in the year-ago period.

The company’s board also recommended a final dividend of Rs 5.10 for the financial year 2024.