Tyre maker Ceat on Wednesday posted over two-fold rise in its consolidated net profit at Rs 121.01 crore for the first quarter ended June 30. The company had posted a net profit of Rs 51.67 crore during the same period of the previous fiscal. Net sales of the company rose to Rs 1,456.26 crore for the first quarter, as compared to Rs 1,453.10 crore during the same period of previous fiscal, Ceat Ltd said in a filing to the BSE.
The company's profit was helped by falling prices of its key inputs rubber and crude oil, improved product mix as well as lower interest costs and high other income.
However, revenue growth remained muted as the company as growth in the domestic market was offset by negative growth in exports.
"Exports have been challenging because of competition from China. [I expect] the trend will continue to be similar going forward," MD Anant Goenka said.
He, however, said that as a result of expansion of its Halol plant, expected this quarter, growth in the third and fourth quarters may be better.
"In addition, we've increased some amount of capacity on the two-wheeler side. So we expect to see good growth out there as well," he said.- With inputs from PTI
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