Amara Raja Batteries to spend Rs 440 cr for capacity expansion
Ravi Bhamidipati, executive director, Amara Raja Batteries, said, “To capitalise on growth opportunities ahead, we have decided to invest R440 crore to augment capacities in large VRLA and automotive 4-wheeler product lines over 16 to 18 months. This investment is in addition to already approved capital investment of R304 crore to expand capacities in medium VRLA, automotive 4-wheeler and automotive 2-wheeler product lines.”
The company has reported a 23% growth in its profit after tax (PAT) at R80.9 crore for the third quarter against R65.9 crore in the same quarter previous fiscal. The company;s net sales logged a 24% growth at R756.9 crore against R612.4 crore in the year-ago period.
Jayadev Galla, managing director, Amara Raja Batteries, said,” The company is keeping a close watch on cost increases due to power shortage, power tariff hike, rising commodity and fuel prices, and volatility in currency markets. The company is confident of its growth prospects and hence continues to invest on capacities and products to support market leading growth in the medium and long term”
The company supplies automotive batteries under OE relationships to Ashok Leyland, Ford India, Honda, Hyundai, Mahindra & Mahindra, Maruti Suzuki and Tata Motors. It's
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