SKF India Limited net Sales rises to Rs. 16202 Million. Net Profit 1277 Million

2008 October 24, 14:39 CET

SKF India Limited net Sales rises to Rs. 16202 Million

Net Profit 1277 Million



The Board of Directors of SKF India Limited, India's leading technology and solutions provider of bearings, seals and related products and services, today approved the audited Financial Results for the year ended December 31, 2008.

The financial highlights in comparison to corresponding period are as given below:


  • Net Sales for the year 2008 rose to Rs. 16202 Million showing increase of 3.3% over the corresponding period of previous year.


  • The Profit after Tax for the year 2008 amounted to Rs. 1277 Million as compared to Rs 1607 million in the corresponding period of last year.


  • Earnings per share at the end of the year is 24.2 as compared to 30.5 in corresponding period of last year



Commenting on the occasion, Mr. Rakesh Makhija, Managing Director stated "

In today's challenging environment we have taken measures to remain financially robust, focusing on efficiency and finding innovative ways to remain lean in order to keep our cost down. Our focus is on value added services and being recognized by our customers as a 'solutions provider'. We believe that the economic situation will remain uncertain for some time and our focus is clearly on creating close customer partnerships to offset some of these adverse conditions."

Our Industrial and after market business continued their strong run during the year. The year was marked by high volatility in input costs, interest and currency exchange rates and in customer demand, more particularly during the latter part of the year leading to pressure on margins and working capital. Demand from the Automotive Sector, particularly commercial vehicles continued to remain weak.




About SKF


"The SKF Group is the leading global supplier of products, solutions and services in the area comprising rolling bearings, seals, mechatronics, services and lubrications systems. The Group's service also includes technical support, maintenance services, condition monitoring and training. The SKF Group's efforts in the R&D area have resulted in numerous innovations that have created new standards and new products in the bearing world.

SKF is present in more than 130 countries, has some 120 manufacturing sites and sales companies supported by some 15 000 distributor locations that are serviced by an efficient global distribution network and a widely used e-business marketplace."

In India, the SKF Group started trading operations in Kolkata in 1923 and since then the Group's operations have been consolidated into SKF India Limited. SKF India also has an associate company called SKF Technologies (India) Pvt Ltd providing sealing solutions. The company has manufacturing plants in Bangalore and Pune.

For further information, please contact

Shilpa Trivedi

SKF India






      (Rs. In Million)
ParticularsQuarter endedQuarter endedYear endedYear 
Dec. 2008Dec. 2007Dec. 20082007
1aNet Sales / Income from Operations                         3,665.5                    4,200.5                    16,202.4                    15,683.0
 bOther Operating Income                              25.8                         48.8                         101.8                         106.7
  Total Income ( a+b)                         3,691.3                    4,249.3                    16,304.2                    15,789.7
2 Expenditure    
 a(Increase)/decrease in stock in trade and work in progress                                0.9                       165.7                        (257.9)                          (74.8)
 bConsumption of raw materials & Components.                            882.1                    1,032.4                      4,237.2                      4,088.4
 cPurchase of traded goods                         1,529.9                    1,511.5                      6,379.6                      5,558.2
 dEmployees Cost                            364.2                       295.5                      1,276.0                      1,214.4
 eDepreciation                              71.3                         82.9                         289.4                         308.3
 fOther expenditure                            634.6                       585.9                      2,589.9                      2,351.1
 gTotal                         3,483.0                    3,673.9                    14,514.2                    13,445.6
3 Profit from Operations before Other Income, Interest and Exceptional Items (1-2)                           208.3                       575.4                      1,790.0                      2,344.1
4 Other Income                                  -                               -                                 -                                 -  
5 Profit before Interest and Exceptional Items (3+4)                           208.3                       575.4                      1,790.0                      2,344.1
6 Interest Net                             (30.5)                        (41.8)                        (153.9)                        (129.5)
7 Profit after Interest but before Exceptional Items (5-6)                           238.8                       617.2                      1,943.9                      2,473.6
8 Exceptional Items                                  -                               -                                 -                                 -  
9 Profit (+)/ Loss (-) from Ordinary Activities before tax (7+8)                           238.8                       617.2                      1,943.9                      2,473.6
10 Tax expense                              75.9                       215.2                         667.3                         866.5
11 Net Profit (+)/ Loss (-) from Ordinary Activites after tax (9-10)                           162.9                       402.0                      1,276.6                      1,607.1
12 Extraordinary Items (net of tax expense                                   -                               -                                 -                                 -  
13 Net Profit (+)/ Loss (-) for the period (11-12)                           162.9                       402.0                      1,276.6                      1,607.1
14 Paid-up Equity Share Capital (face value Rs. 10/-)                            527.3                       527.3                         527.3                         527.3
15 Reserves excluding revaluation reserves as per balance sheet of previous accounting year.                        5,924.2                      4,925.2
16 Earning per Share (EPS)    
 aBasic and diluted EPS before Extraordinary Items for the period, for the year to date and for the previous year (not to be annualized)3.17.624.230.5
 bBasic and diluted EPS after Extraordinary Items for the period, for the year to date and for the previous year (not to be annualised)3.17.624.230.5
17 Public shareholding    
   - Number of shares24477970244779702447797024477970
   - Percentage of shareholding46.4%46.4%46.4%46.4%
  1. Prior year's figures have been regrouped wherever necessary to conform to current year's classification . 
  2. The Company is of the view, that it manufactures bearings and other related components which is a single business segment in 
     accordance with AS-17.    
  3. The guidance on implementing AS15, Employee Benefits ( Revised 2005) issued by the Accounting Standards Board ( ASB) states
      that  provident funds set up by employers, which requires interest shortfall to be met by the employer, needs to be treated as defined 
      benefit plan. Pending the issuance of the guidance note from the Actuarial Society of India, the company's actuary has expressed his
      inability to reliably measure the provident fund liability. Accordingly, the company is unable to exhibit the related disclosures. 
  4. The Board recommended a dividend of Rs. 4.50 per share on the equity shares of Rs.10 each .   
  5.  Number of Investor Complaints- (a) pending at the beginning of Quarter - Nil (b) received during the quarter - 1 
      ( c) attended during the quarter - 1  (d) pending at the end quarter - Nil    
  6. The above financial results were reviewed by the Audit Committee and approved by the Board at its meeting held on  February 17, 2009.
        SKF India Limited
  February 17, 2009    
  Registered / Head Office:    
  Mahatma Gandhi Memorial Building,   RAKESH MAKHIJA
  Netaji Subhash Road, Mumbai 400 002.     Managing Director

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