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MOTORINDIA
l
June 2012
Bosch
continues to power ahead
Bosch Ltd. has regis-
tered a net sales growth
of 10 per cent in the first
quarter of 2012 compared
with the same period last
year despite a sluggish
economy, a noticeable
slowdown in the auto-
motive industry and con-
tinuing challenges in the
export market, mainly in
Europe.
Net sales and income
from operations stood at
Rs. 2,267.5 crores in this
quarter, resulting in sub-
dued growth mainly on
account of lower sales in
commercial vehicle and
tractor segments.
The Diesel Systems
business witnessed a rela-
tively lower growth of 3.8
per cent compared to the
same period last year due
to decline in the tractor
market and de-growth in the export
market. The starter and genera-
tor business posted an impressive
growth of 75 per cent.
The introduction of new base
line alternators in the second half
of 2011 for inland and export cus-
tomers enabled the division to post
higher growth.
The Packaging Division has
grown by 61 per cent due to higher
export projects executed in this
quarter, while the Security Tech-
nology Division posted a growth
of 20 per cent.
Export sales registered
a slow growth of 3.3 per
cent during the period as
compared to the same pe-
riod of 2011, due to weak
demand in the European
region.
Announcing the finan-
cial results, Mr. V.K.
Viswanathan,
Manag-
ing Director, Bosch Ltd.,
said: “The business con-
ditions are quite chal-
lenging, particularly for
the auto industry, due
to varying levels of per-
formance in different
segments. The prediction
of normal monsoon com-
bined with expectation
of falling inflation and
declining interest rates,
gives us reasonable opti-
mism for satisfactory per-
formance of the company
in 2012”.
Despite the negative impact of
sharp rupee depreciation, profit
before tax grew by 19 per cent
compared to the same period last
year, primarily due to better cost
management and higher treasury
income. Profit after tax at Rs. 336
crores registered a strong increase
of 22.4 per cent, reflecting another
quarter of solid performance.
w
component zone
Mr. V.K. Viswanathan, Managing Director, Bosch Ltd.
The Automotive Aftermarket
and Power Tools Division con-
tinued with healthy double-
digit growth of 13 per cent
and 15 per cent respectively
compared with the same pe-
riod last year.