Endurance Technologies is one of India's leading automotive component manufacturing companies. Today Endurance Technologies is the largest aluminium die casting manufacturer in India and one of the leading automotive component manufacturers in aluminium die casting (including alloy wheels), suspension, transmission and braking systems. The company's products and services in India include raw and machined aluminium castings such as high pressure die castings, suspension products such as shock absorbers for scooters, motorcycles and 3 wheeler, front fork for motorcycles & scooters, hydraulic dampers for quadricycles, transmission products such as clutch assemblies, cork and paper based friction plates for motorcycles & three wheelers. It also includes Continuous Variable Transmission (CVT) assemblies for scooters

Braking systems such as hydraulic disc brake assemblies including calipers, master cylinder and rotary disc brake for motorcycles & scooters and hydraulic drum brake assemblies and tandem master cylinder for three wheelers.

Quarter Performance:

The OPM during the fourth quarter ended Mar 2019 rose 230 bps to 17.1%due to decreased raw materialexpenses. Raw material cost (as a % to sales, net of stock) fell 430 bpsat 53.4% during Q4FY19. Other expenses (% of sales net of stock)rose 150 bps to 19.93%. Employee expenses rose 20 bps to 8.8%.

Thus the operating profit rose 26% to Rs 324.61crore. Other income stood at Rs 5.61 crore vis a vis Rs 7.69 crore in previous corresponding period. PBIDT thus rose25% to Rs 330.22 crore. After 20% rise in depreciation cost at Rs 108.53 crore and 9% rise in interest expense to Rs 6.81crore, PBT rose 28% at Rs 214.88 crore. After 28% rise in tax provision (10 bps risein tax rate) at Rs66.2 crore, net profit stood 28% higher at Rs 148.68 crore against profit of Rs 116.38 crore in previous corresponding quarter.

Full Year Performance:

Sales for year ended FY19 rose 18% to Rs 7510crore.

The OPM during FY19 rose 40 bps to 15%due to decreased other cost and employee expenses. Raw material cost (as a % to sales, net of stock) was steady at 57.6% during FY19. Other expenses (% of sales net of stock) fell 20 bps to 18.36%. Employee expenses fell 40 bps to 8.7%.

Thus the operating profit rose 22% to Rs 1128.8crore. Other income stood at Rs 27.04 crore, higher by 15%. PBIDT thus rose 21% to Rs 1155.8 crore. After 17% rise in depreciation cost at Rs 376.21 crore and 9% rise in interest expense to Rs 25.73 crore, PBT rose 24% at Rs 753.88 crore. After 26% rise in tax provision (7 bps dropin tax rate) at Rs 238.07crore, net profit stood 327% higher at Rs 495.01 crore against profit of Rs 390.79crore in previous year.

Shares of Endurance Technologies is currently trading around Rs 1165 at BSE.