Shares of Rane Brake Linings, an auto component manufacturer for the transportation industry, surged 17.5 percent to Rs 998 on May 3 after investors cheered the company's resilient fourth quarter results.
The company's Q4 net profit came in at Rs 15.4 crore, marking a 28-percent increase from Rs 12 crore it reported in the same quarter of the previous fiscal, Rane Brake said in a regulatory filing on May 3.
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The disk pads and clutch facing makers' revenue from operations was Rs 186.7 crore for Q4 FY24 compared to Rs 165.8 crore clocked in the corresponding quarter of the previous fiscal.
EBITDA or earnings before interest, tax, depreciation and amortisation witnessed a healthy rise to Rs 28.6 crore, an uptick from the Rs 21 crore posted in the same quarter last year. EBITDA margins stood at 15.3 percent for Q4 FY24 against 12.7 percent in Q4 FY23.
Its been a stellar year for the company after it reported record sales for the quarter and fiscal year. Moreover, its export sales grew 19 percent during the quarter and had 33 percent growth for the full year and commenced supplies to the US market with new products for the commercial vehicle segment.
In February, the Board of Directors of Rane (Madras) Limited (RML), Rane Brake Lining Limited (RBL), and Rane Engine Valve Limited (REVL) approved the proposed rejig through a merger of the three entities. The merger significantly simplifies the group structure by consolidating listed operating companies and aligns public shareholders’ interest by converging their stake at a single listed entity, it said.
Rane Brake Lining share shares have rallied 31 percent in the past month.
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