Bosch's India unit posts higher quarterly profit on strong auto parts sales
The Indian unit of German automotive supplier Robert Bosch reported a pre-tax adjusted profit of 8.38 billion rupees ($95.7 million) in the April-June period, up from 6.11 billion rupees a year ago. The profit figure does not include a one-time gain of 5.56 billion rupees tied to the sale of its video solutions business.
Quarterly revenue climbed 11 per cent, led by the automotive business' 13.5 per cent rise.
For further earnings highlights, click here.
KEY CONTEXT
Bosch, India's top auto parts maker by market valuation, is the first among its peers to report results in a quarter where overall auto sales by manufacturers to dealers dropped 5 per cent.
Analysts at Motilal Oswal said the company likely benefited from higher after-market sales of auto parts.
The automotive business, Bosch's biggest segment, contributes more than 80 per cent of overall revenue.
India is a key hub for Bosch, with a focus on cost-effective making of parts ranging from fuel injectors to spark plugs. The unit gets 90 per cent of its revenue from local sales.
PEER COMPARISON
Estimates (next 12 Analysts' sentiment
months)
RIC PE EV/EBI Revenue Profit Mean # of Stock to Div
TDA growth (%) growth rating* analyst price yield
(%) s target** (%)
Bosch Ltd 49.13 40.89 10.46 13.11 Hold 4 1.34 1.27
Samvardhana 21.02 8.86 7.89 20.35 Buy 21 0.84 0.58
Motherson
International Ltd
UNO Minda Ltd 46.41 25.17 18.21 26.70 Buy 16 0.92 0.22
Sona BLW Precision 35.71 19.75 23.01 17.43 Buy 16 0.81 0.71
Forgings Ltd
* The mean of analysts' ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT
APRIL-JUNE STOCK PERFORMANCE
- All data from LSEG
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNA
39 minutes ago
- CNA
Singapore raises building height limits near airports following review
SINGAPORE: Buildings near airports in Singapore can now be built taller - potentially by up to 15 storeys for residential developments, and up to nine storeys for industrial or commercial buildings - following a review of height restrictions. The Civil Aviation Authority of Singapore (CAAS) said on Tuesday (Aug 5) that it has updated its rules in line with international guidelines on how tall buildings and structures can be near airports. In May, then-Minister for Transport Chee Hong Tat said that CAAS had been working with the International Civil Aviation Organization (ICAO) to explore freeing up airspace around airports for developments. The authority noted that this was the first time ICAO had reviewed its height restriction standards since the 1950s. "The revised regulations will enable aircraft operations in Singapore to be safeguarded with more precision according to the specific type of operations at each airport and free up more airspace surrounding airports in Singapore for development," CAAS said on Tuesday. "Specifically, this will present opportunities for building height limits and development intensity to be raised in some parts of Singapore." CAAS added that government agencies are still studying how tall and dense future developments near airports can be, taking into account infrastructure capacity and the need to preserve a quality urban living environment. The revised limits stem from a review conducted by an international task force, established in 2015 and chaired by CAAS since 2017. In its review, the task force took a data-driven approach, considering factors such as advancements in aircraft electronic systems and air navigation technology, with input from industry stakeholders and technical panels. Said CAAS director-general Han Kok Juan: "Singapore is honoured to contribute to this major review, including through our chairmanship of the international taskforce. "It will support developments and benefit many countries around the world, including for land-scarce Singapore. This effort underscores the value of collaboration through multilateral institutions and the ability of Singapore and Singaporeans to make meaningful contributions." CAAS said that one of the key updates is the introduction of surface classifications around airport runways: Obstacle-Free Surfaces (OFS) and Obstacle Evaluation Surfaces (OES). OFS are surfaces near the runway that are crucial for safe landings, while OES are surfaces designed to safeguard specific flight paths and procedures used at the runway. The previous model was a "one-size-fits-all" approach that often required more airspace to be reserved for aviation operations. This new classification, however, allows airports to apply rules that match their specific flight operations, noted CAAS. Mr Chee said in May that the change will support further land intensification, which he described as important because of the scarcity of land in Singapore.
Business Times
42 minutes ago
- Business Times
Europe: Shares rebound after Friday's selloff, Swiss stocks fall
EUROPEAN shares closed higher on Monday, rebounding from six-week lows as a surge in banking stocks offset a decline in Swiss shares following a hefty 39 per cent US tariff on Swiss goods. The pan-European Stoxx 600 index rose 0.9 per cent to 540.60, with most major regional markets, barring Swiss stocks, rebounding from Friday's sharp losses, when worries about tariffs and a weak US jobs report hammered sentiment. The German DAX climbed 1.4 per cent, France's CAC 40 rose 1.1 per cent and Britain's FTSE 100 added 0.7 per cent. Zurich's SMI index dipped 0.2 per cent as trading resumed following a long weekend. Switzerland was left stunned on Friday after Trump hit it with one of the highest tariffs in his global trade reset, with industry associations warning that tens of thousands of jobs were at risk. Swiss luxury watchmakers' shares, including Richemont and Swatch, fell 1.3 per cent and 2.3 per cent, respectively. 'It's understandable why Switzerland is lagging. Companies most exposed to international trade flows appear to be under the greatest pressure. However, a quarter percent decline isn't particularly significant,' said Russ Mould, investment director at AJ Bell. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'It seems there may still be hopes that a deal will be struck on terms that are, if not favourable, at least less unfavourable than what the White House has imposed so far.' Switzerland was ready to make a 'more attractive offer' in trade talks with Washington, its government said on Monday. The duties were scheduled to go into effect on Thursday, giving Switzerland, which counts the US as its top export market for pharmaceuticals, watches, machinery and chocolates, a small window to strike a better deal. European stocks have moved further away from this year's peak as US tariffs on its key trading partners raise concerns about a resurgence in inflationary pressures and slowing economic growth. Banks were a bright spot on the day, with shares in British lenders surging after the country's Supreme Court overturned a ruling on motor finance commissions, easing fears among banks about a redress scheme some analysts had warned could run into the tens of billions of pounds. Lloyds added 9 per cent while Close Brothers surged 24 per cent. Barclays, Bank of Ireland and Santander all gained more than 2 per cent each. UBS dipped 0.7 per cent after the bank said it would pay US$300 million to resolve US mortgage securities cases related to the misselling of mortgage-linked investments. REUTERS
CNA
an hour ago
- CNA
Philippine inflation at near 6-year low, paves way for rate cuts
MANILA :Philippine consumer prices rose at their slowest pace in nearly six years in July as utility costs moderated and food prices declined, the statistics agency said on Tuesday, potentially allowing the central bank to cut interest rates later this year. The consumer price index rose 0.9 per cent year on year, the lowest rate since October 2019, and below the 1.1 per cent median forecast in a Reuters poll. The July figure was also less than June's 1.4 per cent. That brought the average rate in the seven-month period to 1.7 per cent, below the central bank's 2.0 per cent to 4.0 per cent target for the year. Bangko Sentral ng Pilipinas Governor Eli Remolona told Reuters last week the central bank was on track to slash its key interest rate, currently at a two-and-a-half-year low of 5.25 per cent, two more times this year, but the timing will depend on the outlook for growth and inflation. "On balance, a more accommodative monetary policy stance remains warranted," the central bank said in a statement following the data. "Emerging risks to inflation from rising geopolitical tensions and external policy uncertainty will require closer monitoring, alongside the continued assessment of the impact of prior monetary policy adjustments," it added. The July inflation slowdown was partly driven by a faster annual decline in rice prices, which fell 15.9 per cent, compared with June's 14.3 per cent drop. The statistics agency said the downward trend in rice inflation was likely to persist in the next few months. However, core inflation - which excludes volatile food and energy prices - slightly quickened to 2.3 per cent in July from 2.2 per cent the prior month. The Philippines, which has lowered its growth forecast for 2025 to 5.5 per cent-6.5 per cent from an earlier forecast of 6 per cent-8 per cent, will announce second quarter GDP data on August 7.
