Auto Parts & Equipment firm Exide Industries Announced Q1FY23 Result :
- Exide reports 57% sales growth and 85% PBT growth in the first quarter of the financial year 2022-23
- Revenue from operations posted an impressive growth of 57% year-on-year in Q1FY23
- Despite high input cost inflation, PBT has grown by 85% year-on-year in Q1FY23 supported by revenue growth and lower fixed expenses as a percentage to sales. PBT margin has also increased to 7.8% in Q1FY23 from 6.6% in Q1FY22.
- Total fixed expenses (employee costs and other expenses) were 18% of sales in Q1FY23 compared to 21.0% in Q1FY22.The company's efforts towards cost optimisation have helped lower fixed costs significantly.
- The balance sheet remains strong with zero debt and a comfortable liquidity position.
Commenting on the performance — Mr. Subir Chakraborty, MD & CEO, said ‘Our strong growth momentum is demonstrated in the first quarter performance as well, with sales and profit before taxes growing at a robust rate of 57% and 85% respectively. Our niche product launches targeting the evolving market requirements, as well as multiple initiatives undertaken for sales transformation and cost optimisation are benefitting the company. New products are garnering excellent customer response and fixed costs are lower as
compared to the previous year. However, high commodity prices leading to escalation in raw material costs along with escalation in fuel and freight costs have continued to be a drag in this quarter.
We expect the demand scenario to remain buoyant in the near-term, both in automotive and industrial verticals. This, combined with expected stabilisation/softening of commodity prices is likely to support growth and operating margins in the immediate future.
Our plans on lithium-ion cell manufacturing are on track and with this project we are moving forward to cater to the growing requirements of our customers in both mobility and stationary applications.’