Bosch Limited, the Indian listed entity of German supplier of technology and services Bosch, has reported a 99 percent growth in net profit in the quarter ended December 31, 2015. The company reported Rs 220.7 crore in profit as against a profit of Rs 110.87 crore in the same quarter a year ago.
“Improved sales as well other factors such as the reduction in employee benefit costs, the realisation of benefits from organisational restructuring undertaken in the previous year and a low base in 2014 due to one-time effects have contributed to this result,” said a statement issued by the company on Friday. Its third quarter profit accounted for 8.2 percent of its total sales in the three-month period under review.
The company’s income for the quarter grew by 13.27 percent to Rs 2,697.8 crore compared to Rs 2,381.64 crore reported in the same quarter last fiscal. Its core business of automotive products reported an 11.92 percent revenue growth.
“Our focus on operational efficiencies and productivity has continued to yield good results,” said Dr Steffen Berns, managing director of Bosch Limited.
Despite a good third quarter performance, Bosch Limited’s shares were trading at Rs 16,133.20 apiece, down 4.97 percent over the previous day’s closing price.
In India, Bosch supplies technology and services in the areas of mobility solutions, industrial technology, consumer goods, and energy and building technology. The company also operates its largest development centre outside of Germany, in India.
On Wednesday, Peter Tyroller, member of the board of management, Robert Bosch Gmbh, announced that the company would be investing Rs 1,000 crore in the southern state of Karnataka, where a large part of Bosch Limited’s manufacturing and research and development operations are based.
Further, commenting on the Union government’s decision of implementing the Bharat Stage - VI (BS6) emission norms by 2020, Berns said the company was “keeping a close watch” on the development. “We support the introduction of BS6 emission norms and have the right products, experience and testing infrastructure to meet the emission standards,” he said.