Automotive technology major Bosch reported fiscal year 2019-20 with a total revenue from operations of Rs 9,842 crores, thus registering a decline of 18.6% compared to the previous fiscal year.
Profit Before Tax (PBT) from continuing operations and before exceptional items tumbled by 29.9% to Rs 1,636 crore. PBT in FY 2019-20 thus stood at 16.6% of total revenue from operations.
“The financial figures reported are in-line with the downward trend in the automotive industry which has been going through a challenging phase for some time and is now having to deal with the impact of the coronavirus,” said Soumitra Bhattacharya, Managing Director of Bosch Ltd.
More than ever, Soumitra Bhattacharya said it is now important to stay connected with associates and customers and assess ground-level activities.
We have to prepare ourselves for a prolonged slowdown in the market in FY 2020-21, he added.
Following directives from the Center and State, he said the company has gradually ramped up its production in the country. Bosch has taken multiple safety measures for its associates and it is making every effort to ensure sustained and stable supplies to support the customers.
During the FY 2019-20, Bosch India has made a provision of Rs 717 crore, towards various restructuring, reskilling and redeployment initiatives. These provisions are in line with the company’s transformation initiatives and has been made to capitalize on opportunities emerging in electromobility and other mobility related projects.
Projecting outlook for the upcoming financial year, Bhattacharya commented: “As a leading automotive technology company with 80% of our revenues driven through mobility business, we have been affected severly. We welcome the Prime Minister’s announcement of Rs 20 lakh crore economic package and hope to see some light towards economic growth. We are still awating to receive further guidance on industry-specific stimulus package that will support the auto sector.”