Bosch reports 1.3% rise in FY21 revenues at Rs 9,718 crore

Bosch Limited, a supplier of technology and services, on Thursday said there is a clear uncertainty in the automotive market with the second Covid wave being more severe. The challenge before the company is to manage fluctuating demand, supply chain crisis, and changing consumer behaviour.

"The automobile industry was seeing itself on a road to recovery until early this year and Bosch Limited's positive results are a validation to it. However, with the second wave being more severe, there is a clear uncertainty in the market. With 80% of our revenues driven through mobility business, we have been affected adversely," Soumitra Bhattacharya, Managing Director, Bosch Limited and President of Bosch India told reporters.

Bosch has a long-term strategy to shape the market in key technologies with innovative products and solutions. Despite the uncertainties in the revival of the automotive market, Bhattacharya said Bosch will carry out its capital expenditure programme with close to Rs 200 crore investment during fiscal 2021-22. The company will be investing in the range of Rs 800 crore to develop its smart campus at Adugodi spread across 75 acres, he said.

Bosch on Thursday announced that it has posted a net profit of Rs 482 crore during the fiscal ended March 2021. It reported total revenue of Rs 9,718 crore during the fiscal year 2020-21, a marginal decline of 1.3% compared to the previous year.

"Despite facing a spell of near-zero sales in the month of April and May in 2020, there has been a significant increase in the demand from the agriculture sector, mainly the tractor business. The industry showed continued signs of recovery since the second quarter of FY2020-21. However, it remains impacted due to the uncertainties in the market," Bhattacharya said.

The board of directors of Bosch declared a dividend of Rs 115 per share for the year.

Stating that India is witnessing an alarming spike in Covid-19 cases in the second wave of the pandemic, Bhattacharya said Bosch has converted its sports complex into a Covid Care Centre for BBMP and donated close to four million medical grade masks to frontline workers and giving free vaccination to all its employees. The company is also investing in an in-house oxygen generation unit for business purposes as well as an aid to healthcare infrastructure, he added.