Revenue from operations during the quarter under review was at Rs 2749.15 crore, drop of 13%. Bottomline would have slipped further if not for the EO expense incurred last year. At the PBT before EO level, the company registered 22% drop in profits to Rs 561.5 crore.

The company witnessed drop in margins during the quarter. The decline in profit is mainly attributable to the lower sales volume in view of

negative market sentiments and an unfavorable development of exchange rates.PAT stood at 15% of total revenue from operations compared to 13.7% of the last quarter of previous year.

"Bosch India remains focused on achieving asustainable and profitable growth. Through targeted investments, infrastructuraldevelopments within the organization and adaptation of technology we look tosecure our business in challenging times for the automotive industry in thecountry," said Soumitra Bhattacharya, Managing Director, Bosch Ltd. "The results in the last quarter offiscal 2018-19 must be contextualized within the predominant weakness of the

overall automotive market. Bosch Limited has always been at the forefront ofintegrated automotive solutions and we are currently supporting our customers indeveloping vehicles that are compliant with BS VI emission standards from April2020 on as per the ruling of the Supreme Court", Bhattacharya said.

Quarterly Performance

For thefourth quarter ended March 2019, the company's margins witnessed 310 bps drop mainly due to rise in employee and raw material expenses. Raw material cost including purchase of stocks increased 150 bps to 54.7%. The employee cost (as a % of sales, net of stock) increased 190 bps to 12.3%. Other expense (as a % of sales, net of stock) increased by 10 bps to 14.3%. OPM during the quarter fell 310 bpsto 18.8%(against 21.9%) leading to25%drop in operating profit to Rs 516.49 crore.

With 3% risein other income at Rs 162.5 crore, PBIDT fell 20% to Rs 678.99crore. With negligible interest cost at Rs 3.14crore vis a vis Rs 10 lakh in previous corresponding quarter and 9%drop in depreciation charges at Rs 114.35 crore, profit before taxbefore EO fell 22%to Rs 561.5crore.The company had incurred an EO expense of Rs 93.89 crore in the previous corresponding quarter vis a vis nil this year. After almost 450 bps dropin effective tax rate and 24%drop in tax provision at Rs 149.8 crore, net profit fell 5% to Rs 411.7crore.

Total revenue of Bosch Limited's Mobility Solutions Business sector decreasedby 15.7% in the quarter ending on March 31, 2019. Within this business

sector, total revenue of the Powertrain division declined by 19.2%. Exportsas well as the domestic Mobility Solutions business witnessed a decline of

6.3% and 16.4% respectively on account of poor market sentiments.The overall automotive industry is facing significant market, technological, and

regulatory headwinds. The Bosch Beyond Mobility business sectors have showna mixed performance of profit and revenue loss in the last financial year.

Full Year Performance

For FY19, Bosch's topline grew 5% to Rs 12257.91 crore.

For FY19, the company's margins witnessed 20 bps drop, mainly due rise in raw material expenses. Raw material cost including purchase of stocks increased 230 bps to 55.9%. The employee cost (as a % of sales, net of stock) decreased 60 bps to 11%. Other expense (as a % of sales, net of stock) decreased by 100 bps to 15.6%. OPM during Fy19 fell 20 bps to 17.7% leading to 3% rise in operating profit to Rs 2163.54 crore.

With 16% rise in other income at Rs 595.29 crore, PBIDT rose 6% to Rs 2758.83crore. With negligible interest cost at Rs 13.3 crore vis a vis Rs 3.3 crore in previous yearand 13% drop in depreciation charges at Rs 404.5 crore, profit before taxbefore EO rose 10% to Rs 2341.03crore. After almost 110 bps drop in effective tax rate and 11% rise in tax provision at Rs742.99 crore, net profit rose 17% to Rs 1598.04 crore.

Bosch Limited's Mobility Solutions business sector increased the total revenue by3.3% in 2018-19, based on positive business sentiments during the first

two quarters of the fiscal year. Domestic sales increased by 4% whileexport sales decreased by 4.5%. Within the Mobility Solutions business,the Powertrain Solutions division registered a moderate growth of 2.4% driven by the overall automotive market development during the fiscal year.Aside from Mobility Solutions, Energy and Building Technologies, and machinebuilding division, posted a double-digit growth and registered overall growth of16.4%.

The scrip is currently trading around Rs 17,053at BSE.