Bosch's India unit reports Q3 profit jump, warns of "challenging 2023"

BOSCH

14/02/2023 09:54

BENGALURU, Feb 14 (Reuters) - Bosch Ltd  BOSH.NS , the
Indian unit of German automotive supplier Bosch, on Tuesday
warned of a "challenging 2023" amid growing fears of recession,
after reporting a 36% jump in third-quarter profit.
    Surging inflation and worries of a global economic slowdown
have left several multinational firms cautious of their growth
prospects this year, as people cut back on discretionary
spending.
    "There are possibilities of a global recession, and India
will not be immune to these impacts," Managing Director Soumitra
Bhattacharya said in a statement.
    The company's shares fell as much as 2.5% after the results.
    Bosch's net profit rose to 3.19 billion rupees ($442.30
million) for the three months ended Dec. 31, up from 2.35
billion rupees a year ago. 
    The quarter saw improved demand for the two-wheeler business
and powertrain solutions unit, even as the country's auto market
continues to see fluctuations, the company said.
    Revenue from automotive products, which accounts for nearly
90% of its topline, reported about 18% growth in the third
quarter. Bosch's revenue from operations rose 17.7% to 36.60
billion rupees.
    Indian car makers, such as Maruti Suzuki  MRTI.NS , posted
robust sales in the third quarter as production picked up with
easing supply chain constraints that spurred demand for parts
makers.
    While Bosch India is still tackling production setbacks due
to supply chain disruptions and chip shortages, the company said
those pressures eased in recent months. 
($1 = 82.7500 Indian rupees)
 (Reporting by Nishit Navin in Bengaluru; editing by Eileen
Soreng)
 ((Nishit.Navin@thomsonreuters.com;))