Amara Raja Batteries is expected to report a 18 percent decline in profit for the quarter ended September 2017, dented by weak operational performance and higher lead prices.
Profit is likely to be at Rs 111.86 crore for the quarter against Rs 136.3 crore in year-ago, according to average of estimates of analysts polled by CNBC-TV18.
Revenue during the quarter is seen rising 13 percent year-on-year to Rs 1,524 crore YoY while operating profit may fall 10 percent to Rs 206.4 crore and margin may contract 360 basis points to 13.5 percent.
Revenue growth may be led by automotive (OEM) and tubular battery segments.
Operating profit margin may be weak due to inability of the company to increase prices in telecom segment & other segments.
Due to consistent increase in lead prices, analysts expect a dip in operating profit margin YoY. Spot LME lead prices increased around 7.6 percent QoQ and 19 percent YoY in Q2.
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