Wheels India to set up wholly owned subsidiaries in the US and Europe
United States and Europe for business development and sales coordination, a top official said. The decision to set up the subsidiaries was against the backdrop of the businesses offering growth in the new geographies, Wheels India MD Srivats Ram said here on Wednesday.
«We are looking at potential new business in Europe in the first quarter of next year and that is the reason for having people on the ground,» he told reporters.
The expansion in the United States and European markets would be in the off-load business in construction and agri-tractor segments.
Meanwhile, the company was also looking at increasing renewable energy from the current 26 per cent to 75 per cent by 2026.
Wheels India reported a net profit for the July-September 2023 quarter at Rs 5.24 crore.
The city-based company registered a net profit of Rs 14.53 crore during the corresponding quarter of last year.
Ram said, «the Q2 profit was impacted due to one-off expenses notably a one-off charge for pre-delivery inspection charges.»
The amalgamation of Sundaram Hydraulics Ltd with the company has now been completed, he stated.
Net profit for the half-year ended September 30, 2023, stood at Rs 18.46 crore as against Rs 24.71 crore registered in the same period of last year.
Revenues during the quarter under review rose to Rs 1,189 crore from Rs 1,104 crore registered during the same period last year.
For the six-month period that ended September 30, 2023, the revenues grew to Rs 2,322 crore, from Rs 2,154 crore registered during the corresponding period of last year.
«The revenue growth was driven by exports with growth in the Asian market offsetting the slowdown in Europe,» he said.
