Rane Brake Lining Ltd. (RBL), a leading manufacturer of brake linings, clutch facings and disk pads, registered sales & operating income of Rs. 359.17 crores for the year as against Rs. 305.84 crores for the previous year ended March 31, 2011. This represents a growth of 17 per cent on year-on-year basis. The total dividend for the year is 70 per cent (including 40 per cent interim dividend) as against 50 per cent for the previous year.
Timely capacity enhancements enabled the company to service the increased demand and, compared to the previous year, sales in the domestic OEM market grew by 18 per cent, domestic aftermarket by 24 per cent and export market by 24 per cent.
The company pursued its efforts to achieve process efficiencies in manufacturing and productivity improvements and save costs through innovative shopfloor practices. It managed the highly volatile foreign currency exchange rate movements by timely hedging its exposure and mitigated the adverse impact.
REVL fares well
Rane Engine Valve Ltd. (REVL) registered sales & operating income of Rs. 307.02 crores for the year ended March 31, 2012, as against Rs. 288.32 crores for the previous year. This represents a growth of six per cent on year-on-year basis. The total dividend for the year is 105 per cent, including 75 per cent interim dividend, against 50 per cent for the previous year.
Sales in domestic OEM market grew by five per cent, domestic aftermarket grew by five per cent and export market by seven per cent. Due to some slowdown in offtake of European customers, there was a drop in export sales in the quarter that affected overall export sales growth for the year.
The company pursued its efforts to achieve operational efficiencies and improve productivity, and cost savings through innovative shopfloor practices. It managed the highly volatile foreign currency exchange rate movements by timely hedging its exposure and thus mitigated the adverse impact.
RML income markedly up
Rane (Madras) Ltd. of the Rane Group registered sales & operating income of Rs. 670.50 crores for the year ended March 31, 2012, against Rs. 583.98 crores for the previous year. This represents a growth of 15 per cent on year-on-year basis. The total dividend for the year is 95 per cent, including 55 per cent interim dividend, against 70 per cent for the previous year.
Growth across all segments in the domestic market and timely capacity additions enabled the company to service the demand. Sales of RML in the domestic OEM market grew by 14 per cent, and domestic aftermarket by 40 per cent. Due to reduction in the volumes of some of the customer programs, exports during the year declined by 12 per cent.
Persistent focus on improving manufacturing efficiencies, innovative shopfloor management practices, continuous emphasis on cost control and improved interest cost management have contributed to the increase in profit before tax at Rs. 37.17 crores. Profit after tax is Rs. 27.40 crores.