TVS SCS Q1FY25 results: Net profit at Rs 7.5 cr on growth in revenue | Company Results
The company also demonstrated its operational prowess by successfully delivering 500,000 Completely Knocked Down (CKD) kits to a major Indian two-wheeler manufacturer. Illustration: Ajay Mohanty
TVS Supply Chain Solutions (TVS SCS), part of Chennai-based TVS Mobility Group and one of the largest companies under the TVS fold, has posted a net profit of Rs 7.5 crore during the first quarter of the financial year 2024-25, as against a loss of Rs 51.2 crore during the same period last fiscal. The rise in profit was mainly due to a growth in revenue and a surge in volume in the network solutions business by 19 per cent.
Its consolidated revenue grew by 10.9 per cent to Rs 2,539.4 crore as against Rs 2,288.9 crore in Q1 FY24. “We had a strong first quarter, driven by topline growth in both our ISCS (Integrated Supply Chain Solutions) and NS (Network Solutions) segments. The ISCS segment continues to lead our performance, supported by significant volume improvements in the NS segment,” said Ravi Viswanathan, Managing Director, TVS SCS.
“Our customers recognise our supply chain transformation capabilities, tech-led solutions, and the ability to deploy AI-driven solutions, resulting in our participation in more large deals,” he said.
He further added that the company is seeing a significant growth opportunity in India following the recent budget announcement, which has provided a strong impetus for the manufacturing sector. This development is expected to open up more outsourcing opportunities for supply chain players like TVS SCS.
“Investments in process automation and productivity initiatives have driven improvement in operating margins. This, combined with effective debt management, has led to PBT improvements for the last four quarters. Our robust order pipeline, combined with our focus on operational efficiencies, gives us the confidence to sustain this growth momentum in the upcoming quarters,” said Ravi Prakash Bhagavathula, global chief financial officer of the company.
During the quarter, the company made significant strides by securing key new business wins, including partnerships with global OEMs in the commercial vehicle sector in both India and Singapore. Additionally, a strategic collaboration with a leading UK-based university was established to drive innovation in artificial intelligence. The company also demonstrated its operational prowess by successfully delivering 500,000 Completely Knocked Down (CKD) kits to a major Indian two-wheeler manufacturer.
First Published: Jul 30 2024 | 8:04 PM IST
