Rane (Madras) Ltd's Q3FY25 Quarter Results
- 31 Jan 2025
Result Summary
- Rane (Madras) Ltd reported a 1.3% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 0.2%.
- Its expenses for the quarter were down by 1.3% QoQ and up 2.7% YoY.
- The net profit decreased 67.6% QoQ and decreased 102.4% YoY.
- The earnings per share (EPS) of Rane (Madras) Ltd declined at 0.1 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 523.71 | 530.69 | 522.42 | -1.3% | 0.2% |
Total Expenses | 523.19 | 530.20 | 509.54 | -1.3% | 2.7% |
Profit Before Tax | 0.41 | 0.39 | 12.88 | 5.1% | -96.8% |
Tax | 0.63 | 1.07 | 3.79 | -41.1% | -83.4% |
Profit After Tax | -0.22 | -0.68 | 9.09 | -67.6% | -102.4% |
Earnings Per Share | -0.10 | -0.40 | 5.60 | -75.0% | -101.8% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Rane (Madras) Ltd is a prominent player in the automotive industry, primarily engaged in the manufacturing and supply of automotive components. The company is known for producing high-quality steering and suspension systems, among other automotive parts, which cater to both the domestic and international markets. It operates in a highly competitive sector, where innovation and efficiency are crucial for maintaining market share. As of the latest updates, there are no major developments reported in the recent quarter that significantly impact the company's operational landscape or strategic direction. However, the automotive sector is generally influenced by factors such as consumer demand trends, regulatory changes, and technological advancements.
Revenue
For the third quarter of the fiscal year 2025 (Q3FY25), Rane (Madras) Ltd reported total income of ₹523.71 crores, a slight decline of 1.3% from the previous quarter (Q2FY25), where the total income was ₹530.69 crores. Compared to the same quarter in the previous fiscal year (Q3FY24), which recorded a total income of ₹522.42 crores, there is a marginal year-over-year increase of 0.2%. This indicates a relatively stable revenue performance year over year, with minor fluctuations on a quarterly basis. The total income figures show a consistent trend with minimal variation, reflecting the company's ability to maintain its revenue levels amidst market challenges.
Profitability
The profitability metrics for Rane (Madras) Ltd reveal a challenging quarter. The company recorded a profit before tax (PBT) of ₹0.41 crores in Q3FY25, showing a minor quarter-over-quarter increase of 5.1% from Q2FY25, where the PBT was ₹0.39 crores. However, there is a significant year-over-year decrease of 96.8% compared to Q3FY24, when the PBT was ₹12.88 crores. After accounting for taxes, the company reported a loss, with a profit after tax (PAT) of -₹0.22 crores in Q3FY25. This is an improvement from the previous quarter's loss of -₹0.68 crores, representing a 67.6% reduction in losses quarter over quarter. However, it marks a stark contrast to the profit of ₹9.09 crores reported in Q3FY24, indicating a year-over-year decline of 102.4%. The earnings per share (EPS) also reflect this trend, with an EPS of -₹0.10 in Q3FY25, compared to -₹0.40 in Q2FY25 and ₹5.60 in Q3FY24.
Operating Metrics
The total expenses for Q3FY25 were ₹523.19 crores, a decrease of 1.3% from Q2FY25, where expenses stood at ₹530.20 crores. Year-over-year, total expenses increased by 2.7% from ₹509.54 crores in Q3FY24. The reduction in quarter-over-quarter expenses, coupled with a slight revenue decline, suggests a focus on cost management during the quarter. The tax expense for the quarter was ₹0.63 crores, down by 41.1% from the ₹1.07 crores in Q2FY25 and 83.4% lower than the ₹3.79 crores in Q3FY24. These figures highlight a reduction in tax liabilities, contributing to the lesser quarterly losses. Overall, the operating metrics show a trend of cost control efforts amidst declining profitability, with variations in tax liabilities significantly impacting the bottom line on a quarterly and yearly basis.
