MRF reports flat profit at Rs 1,097.87 crore in FY19, approves dividend of Rs 54 per share

MRF, the country's leading tyre manufacturer, on Thursday reported standalone net profit at Rs 1,097.87 crore for the financial year 2018-19, up marginally from Rs 1,092.28 crore during the previous fiscal.

"The Profit before tax stood at Rs 1,608.89 crore for the year ended March 31, 2019, as against Rs 1,601.91 crore for the previous financial year," MRF said in a filing to the Bombay Stock Exchange.

Total income during FY19 stood at Rs 16,254.47 crore, as compared to Rs 15,509.55 crore during the previous year, registering a year-on-year growth of 4.80 per cent.

The company's export for the year was Rs 1,566 crore as against Rs 1,353 crore for the previous year ended March 31, 2018.

During the January-March quarter, the tyre manufacturer posted a 14.91 per cent decline in its standalone net profit at Rs 293.83 crore as against Rs 345.32 crore in the same quarter last year.

Revenue from operations, however, climbed to Rs 4,073.45 crore during Q4FY19 as compared with Rs 3,835.50 crore in Q4FY18.

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The company's board has recommended a final dividend of Rs 54 per share on paid-up equity share capital of the company for the financial year ended March 31, 2019, subject to the approval of the shareholders in the ensuing Annual General Meeting. The company has already declared and paid two interim dividends of Rs 3 each per share.

MRF in its earnings release said that India's automobile industry saw a moderate 7.1 per cent growth this fiscal. The commercial vehicle category showed polarity in its sales performance between the first and second halves of the fiscal year.

"The revised axle norm implemented towards Aug-Sep 2018 implied that tyre manufacturers needed to bring their product portfolio to match the demands of vehicles with increased tonnage. In this context, MRF is proactively working on widening its existing range of product solutions to serve commercial customers better," the company said.

MRF shares closed trade at Rs 52,599.95 a piece, down 0.61 per cent, on the BSE on Thursday.

Edited by Chitranjan Kumar