Q2 earnings boost Amara Raja Batteries’ stock the most in a decade.
- Revenue increased nearly 20% and EBITDA margin increased 140 basis points. The margin is above 13% again after five quarters.
- The company reported strong automotive aftermarket and OEM demand. Middle East and Southeast Asian exports grew strongly. The business noted that industrial battery volumes increased, especially in the telecom sector due to 5G rollout preparations in India.
- The management expects economic indicators to stabilise after business recovered from June quarter cost pressures.
- The board also declared a Rs. 2.90 interim dividend. Record date is November 16.