Mumbai, February 13, 2024: Kinetic Engineering Limited (KEL), a leading auto component manufacturer in India, has reported a significant increase in Q3 FY24 profits, marking a nearly 332 % growth. The company reported a staggering net profit of Rs 4.41 crore, compared to 1.02 crore from the previous year, demonstrating the company's resilience and adaptability in a dynamic market environment. Furthermore, KEL’s stock price has surged to a 20-year high, reaching Rs 211, a testament to investor confidence and market optimism, particularly following the launch of E-Luna and the promising outlook for Kinetic's future.
Significant strides in the company's Q3 FY24 operations mark the national debut of the E-Luna, by Kinetic Green, a groundbreaking electric vehicle poised to transform urban commuting. KEL being amongst its main suppliers, this milestone has propelled the company onto an unprecedented growth trajectory, capturing substantial attention and fostering robust demand. With an anticipated annual business volume of 100,000 E-Lunas, Kinetic Engineering forecasts an impressive annual turnover increase of Rs 80 Crore due to this.
In line with its ambitious expansion plans, KEL has established new lines for its press shop, and welding shop, and upgraded its paint shop to facilitate the production of E-Luna chassis, swing arms, main stands, side stands and other essential body parts. Moreover, the paint shop has been modified to accommodate the painting of three-wheeler chassis, reflecting the company's dedication to versatility and innovation. Furthermore, the E-Luna gearbox production is steadily ramping up, underscoring the company's dedication to meeting the growing demand for electric mobility solutions.
Mr. Ajinkya Firodia, Managing Director, Kinetic Engineering Limited, said, “Q3 has been a standout quarter for us with substantial progress. Our deep understanding of automotive industry trends positions us effectively to respond to evolving consumer needs. The successful ramp-up of E-Luna production and steady growth in the E-luna gearbox production further underscores our unwavering commitment to pioneering innovation in the electric vehicle segment. Also, our active participation in the Bharat Mobility Expo exemplifies our dedication to advancing EV technology and contributing to the sustainable mobility ecosystem. Achieving a market capitalisation of Rs 470 crores, the highest in the past decade, speaks volumes about the market's confidence in KEL’s growth trajectory.
As we look ahead, our commitment remains resolute in driving sustainable growth, creating value for stakeholders, and ensuring continued success in the upcoming quarters. This entails a strategic focus on increasing volumes, maintaining a healthy profit margin, and enhancing resource efficiency. It's an integrated approach that aligns seamlessly with Kinetic Engineering's vision for the future.”
Comments