Coimbatore, 02 February 2015: The Board of Shanthi Gears Ltd., (SGL) a subsidiary of the Chennai based Tube Investments of India Ltd, (TII) of the Murugappa Group met today to di scuss the unaudited financial results for the quarter and nine months ended 31st December, 2014 . The turnover for the quarter was Rs 42.46 cr a gainst 40.42 cr in the same quarter last year. Th e net profit for the quarter was 3.76 cr against 4.62 cr in the previous year. The turnover f or the nine month period was 113.44 cr (PY 114.25 cr). The net profit for the period was at 7.89 cr (after a one time charge of 3.0 3 Cr) against 14.71 cr in the previous year.
The Board declared an Interim Dividend of 0/50- per share of Face Value Re.1/- per sha re for the year 2014-15.
During the quarter the Company was able to grow its order book by 9% despite the marke t not being very conducive to growth. The Com pany booked an order for a Vertical Rolling Mill fo r the Cement industry and also won a prestigious order for supply of gears for combat vehicles from the defence sector. The net profit for the quarter was impacted due to very compe titive conditions prevailing in the market plac e exerting pressure on prices. The Company’s foc us on cost management, improved execution and internal efficiencies helped mitigate the imp act of this.
With improving sentiment and reduction in interest rates it is expected that the growth in the industry will pick up in the coming quarters. The Company’s current order book is healthy at 83 Cr and the Company will continue to maintain its focus on growing the customer base, expanding its product offerings and capabilities, reducing cost and improving execution in line with customer expectations.
About Murugappa Group
Founded in 1900, the INR 243 Billion Murugappa Group is one of India’s leading business conglomerates. The Group has 28 businesses including ten listed Companies traded in NSE & BSE. Headquartered in Chennai, the major Companies of the Group include Carborundum Universal Ltd., Cholamandalam Investment and Finance Company Ltd., Cholamandalam MS General Insurance Company Ltd., Coromandel International Ltd., Coromandel Engineering Company Ltd., E.I.D. Parry (India) Ltd., Parry Agro Industries Ltd., Sabero Organics Ltd., Shanthi Gears Ltd., Tube Investments of India Ltd., and Wendt (India) Ltd.
Market leaders in served segments including Abrasives, Auto Components, Transmission systems, Cycles, Sugar, Farm Inputs, Fertilisers, Plantations, Bio-products and Nutraceuticals, the Group has forged strong alliances with leading international companies like Groupe Chimique Tunisien, Foskor, Mitsui Sumitomo, Morgan Advanced Materials, Sociedad Química y Minera de Chile (SQM), Yanmar & Co. and and Compagnie Des Phosphat De Gafsa (CPG). The Group has a wide geographical presence all over India and spanning 6 continents.
Renowned brands like BSA, Hercules, Ballmaster, Ajax, Parry’s, Chola, Gromor, Shanthi Gears and Paramfos are from the Murugappa stable. The organization fosters an environment of professionalism and has a workforce of over 32,000 employees.