Pitti Engineering Limited Financial Results - Q1FY21

Net Revenue stood at ₹ 61.55 crore EBITDA was at ₹ 2.08 crore Hyderabad, August 13, 2020: Pitti Engineering Limited, leading Engineering Company, has declared its financial results for the Quarter ended June 30, 2020. Q1FY21 - Financial Highlights • Revenue from Operations was at ₹ 61.55 crore • EBITDA was at ₹ 2.08 crore • Net Loss was at ₹ 9.78 crore Operational Highlights - The quarter was marred by the impact of global pandemic, Covid-19 characterised by lockdown and migration of labour impacting the operating levels of the Company resulting in reduced revenue and profits.

- The long-term order book with the company as of June 2020 stands at ₹ 600 crore other than the regular order book of ₹ 400 crores, which comprises of engineering products catering to user industries like Diesel and electric locomotives, data farms, consumer durables, renewable energy, power generation and off-highway vehicles. - After reviewing the impact of COVID-19 on industry & company's operations, the company is continuing with its capex plans of enhancing capabilities considering the opportunities in fabrication and shaft making, as per its strategy of vertically integrating multiple engineering processes for achieving higher value addition and also increasing automation for reducing labour dependence thus increasing operating margins. Total capex of ₹ 270 crores shall be undertaken over next three years.

Commenting on the Results, Mr. Akshay Pitti, Vice Chairman and Managing Director, said that, "Our operations were substantially impacted due to lockdown during the first quarter which resulted in decline in our revenues and profitability but looking at the near zero economic activity during major part of the quarter, the impact can be said to be moderate. Further, considering the prevalence of normalcy in business environment, the Company expects to return to normal operating levels as its orders book continues to be robust." He further added that, "The capex cycle and Investments are expected to see revival in the coming quarters which will drive the domestic and export demand for engineering products." PWR PWR.