Sundram Fasteners product mix driving growth

Sundram Fasteners Ltd.’s (SFL) net profit showed an excellent growth of 63.4 per cent at Rs. 75.34 crores for the third quarter ended December 31, 2016, against Rs. 46.11 crores during the same period in the previous year. For the nine months ended December 31, 2016, it was Rs. 227.82 crores as against Rs. 126.79 crores during the same period in the previous year, representing an increase of 79.7 per cent.

Mr. Suresh Krishna, Chairman and MD, Sundram Fasteners Ltd.

The earnings before interest, depreciation and taxes (EBIDTA) for the quarter ended December 31, 2016, has increased to Rs. 135.62 crores (Rs. 96.53 crores) and for the nine months, it increased to Rs. 417.09 crores (Rs. 294.91 crores). The EBIDTA margin has increased during the period due to volume growth, product mix and specific cost reduction initiatives of the company.

SFL recorded revenue from operations of Rs. 709.32 crores for the quarter ended December 31, 2016, as against Rs. 613.90 crores, and for the nine months it was Rs. 2,160.53 crores as against Rs. 1,906.15 crores. The export sales for the quarter ended December 31, 2016, was at Rs. 260.50 crores as against Rs. 211.41 crores, and for the nine months it was Rs. 766.57 crores as against Rs. 667.90 crores.  Domestic sales, net of excise duties, for the nine months was at Rs. 1,358.08 crores as against Rs. 1,205.50 crores during the same period in the previous year. The earnings per share for the nine months amounted to Rs. 10.84 (last year same period Rs. 6.03).