Sundram Fasteners plans Rs 350 crore investment over five years

Sundram Fasteners plans to invest Rs 350 crore over a period of five years on manufacturing advanced automotive technology components such as powertrain sub-assemblies for electric vehicles (EVs) and select internal combustion engine (ICE) vehicles. The investments proposed to be made in this direction are expected to provide a major thrust to the company’s exports in the years to come, the company’s top leadership said on Friday. 

The  company has been making efforts in developing new products such as tower fasteners, valve body housing and swash plate for hydraulic power systems, electric water pumps for passenger utility vehicles, and sintered pulleys for electric scooter application which is expected to pave the way for better business prospects in the future, the management added. 

Sundram Fasteners offers a diversified product line to the automotive industry from its facilities across three countries. Its product consists of high-tensile fasteners, powder metal components, cold extruded parts, hot forged components, radiator caps, automotive pumps, gear shifters, gears and couplings, hubs and shafts, tappets and iron powder. Over the years, the company has acquired cutting-edge technological competencies in forging, metal forming, close-tolerance machining, heat treatment, surface finishing and assembly.

Meanwhile, Sundram Fasteners reported consolidated revenues amounting to Rs 1410.12 crores during the quarter ending June, 2022 as against Rs 1129.56 crores during the year-earlier period, up 24.8 percent. Further, the consolidated net profit for the quarter ended June 30, 2022 was at Rs 138.03 crores as against net profit of Rs. 120.51 crores during the same period in the previous year, translating into a growth of 14.5 percent .

Arathi Krishna, Managing Director, Sundram Fasteners said, “The company has registered a strong operating performance and reported highest ever profit despite a challenging environment posed by continuous higher raw material prices, inflationary impact in indirect materials and steep increase in freight costs, and other inputs. We continue to be cautiously optimistic about the ensuing quarters” she added. 

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