During the quarter, total expenses rose 36.14% YoY to Rs 592.95 crore. Raw material cost spurted 86.70% YoY to Rs 295.86 crore.

The company said its performance has been good across markets except for Australia and South East Asia which faced a resurgence of COVID related disruptions.

The firm said that raw material commodity prices increased repeatedly and frequently during the first quarter. With commitments made to government related orders, for supplying compressors for oxygen generators as well as longer gestation for price corrections in the markets, margins shrunk significantly. However, the company expects that price correction and cost management will result in gradual recovery of the margins.

Sales of the company's automotive business bounced back to pre-COVID stage and increased by 45% when compared to the corresponding period of 2020-21.

The company said that the performance in the second quarter is expected to continue in the third quarter as well.

Elgi Equipments is a global air compressor manufacturer with a broad line of innovative and technologically superior compressed air systems.