Bharat Forge Limited (BFL) has reported a strong second quarter on the back of increases in its exports and the domestic auto market.
The forged and machined components group said that it had witnessed a 8.2% in volume growth.
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Total revenues reached Rs7,187m (US$161.7m), up 68.5%.
Domestic revenues grew by 59% on a year-on-year basis on the back of continued traction with domestic OEM’s, the company said.
Exports grew 86.5%, driven by a recovery in both the US and European markets.
Profit before tax reached Rs1,018m, up 155%.
“We are quite optimistic that the international operations will continue to show improvement in performance and will try to achieve break even this year and further gain momentum with recovery in automotive markets in Europe in 2011,” the company said.
Looking ahead, the company said: “The recovery in the US automotive markets, visible from the half-yearly numbers is an encouraging sign. The strong performance of the US Class 8 heavy truck segment in the first three quarters of CY10 on the back of economic revival in the US & improved freight demand is expected to continue into CY11 in what could turn out to be a long and much awaited recovery cycle.”
