Lumax Auto Technologies (LUMAXTECH) Q4 15/16 earnings summary

Executive summary

• FY16 consolidated revenue rose 8.12% to ₹9,051.5m; growth came amid uneven, volatile automotive industry conditions.

• Adjusted consolidated profit after tax was ₹342m versus ₹309m excluding the prior-year exceptional item; reported profit attributable to shareholders was ₹317.7m versus ₹449.8m.

Financial highlights

• Standalone net sales increased 7.22% to ₹5,619.3m from ₹5,240.4m.

• Standalone profit before exceptional items and tax reached ₹270.4m versus ₹210.6m; reported PAT was ₹195.5m versus ₹320.5m.

• Consolidated profit before exceptional items and tax was ₹496.2m versus ₹464.2m; reported PAT before minority interest was ₹341.7m versus ₹468.6m.

Outlook and guidance

• Aftermarket revenues are expected to grow 15% over the next two years, supported by expanded dealer reach, new geographies and customer engagement.

• Indian auto components industry growth of 8–10% is projected for FY17–18; localisation, higher component content per vehicle and exports are cited as drivers.

• Management expects infrastructure reforms and Make in India to support industry demand, investment in capabilities and aftermarket growth.