The revenue growth was aided by year-on-year healthy volumes registered in the automotive after-market and export markets.
During the quarter, profit before tax stood at Rs 323.97 crore, up 4.94% from Rs 308.73 crore posted in Q2 of FY24.
Total expenses grew 11.87% YoY to Rs 2,830.33 crore in September 2024 quarter. Cost of materials consumed stood at Rs 1,753.19 crore (up 0.23% YoY) and employee benefits expenses were at Rs 189.88 crore (up 6.49% YoY) during the period under review.
Harshavardhana Gourineni, executive director, Automotive & Industrial Batteries said, “The revenue and profit numbers showcase our consistent performance across verticals. We have witnessed good traction from the new geographies that we expanded in the last quarter, and it was spearheaded by our new range of indigenously designed AGM batteries. We are looking at growing bigger in the coming months and will continue to build our product range, cater to newer segments, and strengthen our global presence.”
Vikramadithya Gourineni, executive director, New Energy Business said, “We have strengthened our customer alliances in the last quarter, and it gives us confidence on the steps we have taken so far. We are on track with the construction of the new cell manufacturing plant along with expanding our battery pack facility that we inaugurated recently.”
Jayadev Galla, chairman & managing director of ARE&M said, “Our business across segments has performed considerably well. We have witnessed significant growth in revenue and profits quarter on quarter, a direct testament of our customer’s trust in the quality and reliability of our products and services. We are taking rapid strides in the Li-ion battery and chargers segment, and have made new additions to our advanced lead acid battery portfolio as well, thus promising a growth-oriented future.”
Meanwhile, the board of directors has declared an interim dividend of Rs 5.30 per equity share for FY25. The record date is fixed as on 14 November 2024 and it will be paid on or before 3 December 2024.
Furthermore, the company’s board enhanced the investment limit in its wholly owned subsidiary, ARACT to Rs 2,000 crore from Rs 1000 crore in one or more tranches through loan/ equity/ any other mode to set up Gigafactories/Plants.
Amara Raja Energy & Mobility (formerly known as Amara Raja Batteries) is an Energy and Mobility enterprise and one of the largest manufacturers of energy storage products for both industrial and automotive applications in the Indian battery industry. The company's industrial battery brands comprise PowerStack, AmaronVolt and Quanta. The company is a leading manufacturer of automotive batteries under the brands Amaron and PowerzoneTM, which are distributed through a large pan-India sale & service retail network.
Shares of Amara Raja Energy & Mobility declined 3.75% to Rs 1,322.40 on the BSE.