Rane Brake Lining Limited (RBL), a leading manufacturer of Brake Linings, Clutch Facings and Disc Pads today announced its results for the quarter ended 30th June 2016. The Company registered Sales & Operating Income of Rs 121.46 Crores for the quarter as against Rs. 103.62 Crores for the corresponding quarter in the previous year. The Company’s overall India OEM sales and Aftermarket sales registered a healthy growth of 16% and 29% respectively during the quarter. RBL enjoyed good growth in the OE segment on the back of mass supplies to successful models in passenger car and utility vehicle segments. The robust growth in the Aftermarket segment is attributed to increased sales of Asbestos-free linings and favourable pull in Northern and Southern region.
During the quarter, the company undertook various cost reduction initiatives resulting in favourable material cost and reduced operational cost. The company’s better cash generation and internal accruals helped to repay long term loans and significantly reduce finance costs.
“RBL continued to deliver good results with significant improvement in the profitability. We are focusing on commencing supplies for new wins with Tier-1/OEM customers, which will provide impetus for growth in the upcoming quarter. Further we are expanding our range in the Aftermarket business. We are continuing to focus on operational efficiency to mitigate the headwinds in material and other operational cost.” said L Ganesh, Chairman, Rane Group.
