Indian battery maker Eveready posts rise in Q2 profit on lower costs

BENGALURU (Reuters) – Battery maker Eveready Industries India on Tuesday reported a more than 72% rise in second-quarter profit, helped by diminishing costs.

Consolidated net profit rose to 254.4 million rupees ($3.06 million) in the quarter ended Sept. 30 from 147.3 million rupees a year ago.

Quarterly expenses for the company, which also sells flashlights and lighting products like LED bulbs, fell 6% to 3.34 billion rupees, led by a nearly 15% decline in raw material costs.

Costs of lithium and cobalt, key raw materials for battery makers, fell globally during the quarter.

Operating EBITDA (earnings before interest, taxes, depreciation, and amortization) margin expanded to 12.7% in the quarter from 11.4% a year ago.

Revenue from operations, however, fell nearly 3% to 3.65 billion rupees.

Shares of Eveready were flat after its results.

($1 = 83.2360 Indian rupees)

(Reporting by Manvi Pant in Bengaluru; Editing by Sonia Cheema)