Rane Holdings net profit up 17.2 %, driven by growth across automotive segments

raneRane Holdings reported a 17.2 % growth in profit for the April-June quarter compared to the previous year.

The company said the growth across the automotive segments in the commercial vehicles, passenger vehicles and two wheelers contributed the increase in profit.

It also benefited by higher volumes in the supply of components to new vehicle models introduced in passenger car and Multiple Utility Vehicle (MUV) segments.

Rane Holdings added that at product segment level there was strong demand for their die casting components and occupant safety systems.

Although they faced inflationary pressure on employee cost and other operational costs they achieved cost reduction through cost savings initiatives such as purchasing materials locally and alternate sourcing they said.

Vice Chairman L. Ganesh said that on the back of strong performance in the first quarter and positive signals from customers they are optimistic about continued good performance in the remaining part of the year