Amara Raja Batteries Limited (BSE: 500008 | NSE: AMARAJABAT), a leading Indian manufacturer of industrial and automotive batteries, announced its financial results for Q4 FY19 and the full fiscal year ending March 31, 2019.
Financial Highlights:
Q4 FY19 Revenue: ₹1,566.73 crore, a slight decline of 0.9% compared to ₹1,580.74 crore in Q4 FY18.
Q4 FY19 Profit After Tax (PAT): ₹119.34 crore, up from ₹109.80 crore in the previous year.
Q4 FY19 Earnings Per Share (EPS): ₹6.99.
FY19 Revenue: ₹6,793.11 crore, a robust growth of 12.1% over ₹6,059.15 crore in FY18.
FY19 PAT: ₹483.49 crore, marginally higher than ₹471.32 crore in FY18.
FY19 EPS: ₹28.31.
Dividend Policy Update:
The Board has amended the dividend payout policy, increasing the dividend payout limit from 15% to 30% of PAT (excluding corporate dividend tax). It recommended a final dividend of ₹5.08 per share (face value ₹1), subject to shareholder approval. Including the interim dividend of ₹2 per share paid in November 2018, total dividend for FY19 amounts to ₹7.08 per share, aligning with the revised policy.
Business Performance Highlights:
The automotive battery business sustained healthy double-digit growth during the year.
Aftermarket demand for key brands Amaron® and Powerzone™ increased, driven by channel expansion.
OEM business faced headwinds due to a slowdown in new vehicle sales.
Inverter segment saw volume growth in tubular batteries with improved capacity utilization.
Automotive exports experienced significant volume growth across various regional markets, expanding market share.
Industrial battery segments, including UPS and Railways, posted moderate volume growth.
Telecom segment volumes remained subdued due to consolidation and competitive pressures.
Strategic Initiatives & Future Outlook:
Mr. Jayadev Galla, Vice Chairman & Managing Director, emphasized ongoing investments in capacity and technology to capture emerging opportunities in renewable energy and electric mobility. The company is also actively exploring strategic partnerships aligned with its growth objectives.
CEO S. Vijayanand highlighted international expansion efforts, including the launch of the company’s first overseas subsidiary in the UAE. Advanced manufacturing facilities such as the stamped grid technology plant for two-wheeler batteries are operational, with the four-wheeler stamped grid project on track for commissioning in FY20.
About Amara Raja Batteries Limited:
Amara Raja Batteries is a technology leader and one of India’s largest manufacturers of lead-acid batteries for industrial and automotive applications. It serves major telecom providers, UPS sectors, Indian Railways, and power, oil & gas industries, with a strong presence in both domestic and export markets.
The company’s notable brands include PowerStack®, AmaronVolt™, Quanta® for industrial batteries, and Amaron® and Powerzone™ for automotive batteries. It holds original equipment supplier (OEM) partnerships with leading vehicle manufacturers like Ashok Leyland, Ford India, Honda, Hyundai, Mahindra & Mahindra, Maruti Suzuki, and Tata Motors.
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