Bosch has posted a sharp 46% on year fall in the standalone net profit at Rs 536 crore, with revenue growing by 6% to Rs 4394.3 crore, the company informed exchanges on November 12.
The company had reported a net profit of Rs 1,000 crore in the September quarter a year ago. Bosch clocked a margin of 12.8% in Q2FY25, compared to 11.9% a year ago. Its EBITDA rose by 14% on year to Rs 560.5 crore.
The company mentioned that 'several macroeconomic factors' affected the performance of the automobile sector, along with an extended rainfall. "Despite unpredictable rainfall and several macroeconomic factors affecting the automotive industry's overall performance this quarter, we showcased our capacity to adapt to changing market demands and provide high-quality solutions that align with our customers' needs," Bosch Managing Director Guruprasad Mudlapur said, allaying concerns.
The overall automotive market is expected to grow annually at 3-4% in the long term, Bosch said.
Domestic car sales had been saddled with excess inventory during the August-September period, and later on, during the festive season, some segments of car and two-wheelers faced weakness in demand.
However, Mudlapur is now confident of "sustained demand" across segments, driven by the festive period during the third quarter. Bosh added that it aims to focus on high-growth areas and develop capabilities to cater to the mobility landscape, which Mudlapur said is 'ever-evolving'.
Bosch said it has lined up investments in advanced technologies and has a strong commitment to localisation.
Shares of Bosch were lower by 4.6% on November 12, but on YTD basis are higher by 49%.
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