Total expenses increased by 20% YoY to reach Rs 127.8 crore in Q4 FY23. The cost of material consumed surged by 29% YoY to Rs 56.4 crore, while finance costs rose by 34% YoY to Rs 2.8 crore.

The company reported a 28% increase in sales to India OE customers, driven by high demand from passenger vehicle and commercial vehicle customers. Export sales also grew by 27%, while demand from international customers remained robust. Sales to Indian aftermarket customers were in-line with Q4 FY22. The company achieved a 307 bps improvement in EBITDA margin due to better capacity realization through productivity improvements and operational leverage benefits.

In FY23, the company's total revenue reached Rs 4,996 crore, a 29.8% increase from Rs 3,850 crore in FY22. EBITDA increased by 120.3% to Rs 36.2 crore compared to Rs 16.4 crore in FY22, and the EBITDA margin rose from 4.3% in FY22 to 7.2% in FY23. The net loss for FY23 was Rs 0.1 crore, significantly lower than the net loss of Rs 11.9 crore in FY22.

L. Ganesh, chairman, Rane Group said: "I'm glad to report the financial turnaround of REVL driven by strong topline growth and improved operational performance. The favourable demand environment in India and strong demand from exports supported the topline growth. REVL executed several operational improvements and cost saving initiatives which resulted in financial turnaround. REVL continues to prioritise operational improvement projects including capacity optimisation for sustaining and improving the performance."

Rane Engine Valve Limited (REVL) specializes in the production of engine valves, valve guides, and tappets for various internal combustion engine applications. The company is a market leader in the Indian OEM and replacement markets and serves a wide range of segments in the automotive industry, including passenger vehicles, commercial vehicles, tractors, 2-wheelers, 3-wheelers, stationary engines, railways, and marine engines.