Coimbatore, 24 July 2013: 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 discuss the unaudited financial results for the quarter ended 30th June, 2013. The turnover for the quarter was Rs 33.19 crores against 31.22 crores in the same quarter last year. The net profit for the quarter was 3.37 crores against 3.59 crores in the previous year.
During the quarter, the Company built its order book by 41 crores despite depressed market conditions. Orders from export markets were higher. Most of the key user segments in the domestic market remained flat or registered negative growth. The quarter also saw the launch of the first high end vertical rolling mill gearbox. This has helped increase the capability of the Company and has spurred interest among such users. The Company also focused on improving its operating efficiencies and execution engine and improving its capabilities. The various cost management initiatives undertaken over the last few months are beginning to bear fruit. The new standard range of gearboxes developed by the Company is expected to hit the market shortly and enhance its presence in this segment.
With a better monsoon and an improvement in business confidence, it is expected that the growth in the industry will pick up in the coming quarters. The Company’s current order book is at 75 cr., and the Company will continue to maintain its focus on growing the customer base, reducing cost and improving deliveries to achieve a better performance in the coming quarters.
About Murugappa Group
Founded in 1900, the INR 225 Billion Murugappa Group is one of India’s leading business conglomerates. The Group has 28 businesses including eleven 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, Cycles, Sugar, Farm Inputs, Fertilizers, Plantations, Bio-products and Nutraceuticals, the Group has forged strong alliances with leading international companies like Groupe Chimique Tunisien, Foskor, Mitsui Sumitomo, Morgan Crucible and Sociedad Química y Minera de Chile (SQM). The Group has a wide geographical presence spanning 13 states in India and 5 continents.
Renowned brands like BSA, Hercules, Ballmaster, Ajax, Parry’s, Chola, Gromor and Paramfos are from the Murugappa stable. The organization fosters an environment of professionalism and has a workforce of over 32,000 employees.