Rane Group Business Report FY ended Mar. 2019

Financial Overview

FY ended March 31, 2019
-In the fiscal year ended March 31, 2019, the Group's net revenue from operations increased by 12% over the previous year to INR 53.69 billion.

FY ended March 31, 2018
-In the fiscal year ended March 31, 2018, the Group's net revenue from operations increased by 17% over the previous year to INR 47.9 billion.

FY ended March 31, 2017
-In the fiscal year ended March 31, 2017, the Group's net revenue from operations increased by 25% over the previous year to INR 30,293.4 million.

FY ended March 31, 2016
-In the fiscal year ended March 31, 2016, the Group's net revenue from operations increased by 10% over the previous year to INR 24,313.0 million.

FY ended March 31, 2015
-In the fiscal year ended March 31, 2015, the Group's net revenue from operations increased by 14.7% over the previous year to INR 22,108.8 million.

FY ended March 31, 2014
-In the fiscal year ended March 31, 2014, the Group's net revenue from operations totaled INR 19,275.3 million, a decrease of 0.5% from the previous year. The growth in exports was offset by decreases in sales for OEMs and the aftermarket.

 

Restructuring

Investment in Autotech Ventures
-In July 2018, Rane Group announced making a small investment in the Silicon Valley-based ground transportation-focused venture capital fund, Autotech Ventures. This will help the company to stay close to emerging technologies and innovation in the U.S., while assisting its strategic decision-making process.

Full Divestment of equity shareholding from JMA Rane Marketing Limited (JMA Rane), a joint venture company.
-In October 2018, Rane Group informed that its Board of Directors approved the divestment of entire 48.97% equity shareholding held by the Company in JMA Rane Marketing Limited (JMA Rane), a joint venture company.

 

Developments in India and overseas 

Rane Precision Die Casting (RPDC)
-In March 2019, Rane Group announced that the board of directors of the Company has approved enhancement in investments up to USD 20 million in Rane Precision Die Casting Inc., USA (RPDC), step down subsidiary, through Rane (Madras) International Holdings B V, The Netherlands (RMIH), wholly owned subsidiary of the Company, over the next five years.

-In July 25 2018, Rane Group informed that the board of directors of the Company has approved enhancement in overall investments up to USD 10 million in the equity capital of Rane Precision Die Casting (RPDC), step down subsidiary of the Company, through Rane (Madras) International Holdings B V, The Netherlands (RMIH), wholly owned subsidiary of the Company, over the next three to five years.

 

Rane NSK Steering (RNS)
-In January 2019, Rane Group informed it setting up of a new plant in Ahmedabad to cater to its customers in the Western region of India. It will start with only a single assembly line for now, over the next five to seven years this facility is expected to play an important role for RNSS.

-In March 2019, NSK Ltd. announced on March 25 that its joint venture with Rane Group in India, Rane NSK Steering Systems Pvt. Ltd. (RNSS), has established a new production base for electric power steering systems in Ahmedabad, Gujarat, in the northwest of India. The total capital investment will be INR 511 million (JPY 800 million).

 

Rane TRW Steering Systems 

In February 2019, Rane TRW Steering Systems Pvt. Ltd., a joint venture of Rane Group with the German ZF Group, started a new facility for occupant safety products at Tiruchirapalli (Trichy), Tamil Nadu. Initial capacity will be around 0.5 million modules per annum of airbags and 1 million units per annum of seat belt assemblies. Further, this would be ramped up to 1 million modules per annum of airbags and 2 million units of seatbelt assemblies in next two years, with an additional investment of around INR 250 to 300 million.

 

Major Awards

 

年月 授与社
Rane TRW Steering Systems
FY ended March 2019
Ashok Leyland Best Performance in Business Alignment-Gold Award
TATA Efficiency Award
Volvo Eicher CV Best Supplier in New Product Development
Rane Brake Lining
FY ended March 2019 Brakes India Ltd Best Supplier 2019-Friction
Rane NSK Steering Systems
FY ended March 2019 Maruti Suzuki India Ltd Efforts in Vendor Import Localisation
Rane Precision Die Casting Inc.
FY ended March 2019
Nexteer Automotive Perfect Quality for 2018
Rane Engine Valve Limited
FY ended March 2019 TAFE Commitment to Quality
Volvo Eicher CV Quality & Delivery Excellence
Rane (Madras) Limited
FY ended March 2019 TAFE Best Supplier & Benchmark Award
Volvo Eicher CV New Product Development

 

Contracts

Rane NSK Steering Systems Pvt. Ltd.
-In the fiscal year ended March 31, 2016, Rane NSK Steering Systems Pvt. Ltd. entered SOP for new product development in steering column for TATA LCV, Daimler HDT & ISUZU.

Rane TRW Steering Systems Pvt. Ltd.
-In the fiscal year ended March 31, 2016, Rane TRW Steering Systems Pvt. Ltd. successfully commenced the supply of seatbelts for an export customer and also won orders for airbags from the same customer.
-In the fiscal year ended March 31, 2015, Rane TRW Steering Systems' Inflatable Restraint Systems were nominated for use in multiple Renault platforms.

Rane Engine Valve Limited
-In the fiscal year ended March 31, 2014, Rane Engine Valve Limited acquired a purchase order from Renault for its A-level small car to debut in 2015.

R&D Expenditure

(in million INR)
FY ended Mar. 31, 2019 FY ended Mar. 31, 2018 FY ended Mar. 31, 2017
Rane (Madras) Limited 99.0 106.6
115.3
Rane Engine Valve Limited 19.9 16.7
19.4
Rane Brake Lining Limited 273.6 112.9
195.5

-In the fiscal year ended March 31, 2019, the Company's R&D expenditures were INR 389.50 million.

R&D Facilities

Rane (Madras) Limited

-Specific R&D activities that Rane (Madras) limited focused on in the fiscal year ended March 31, 2019:

  • The R&D facilities were upgraded both at Chennai and Puducherry to meet the increased product performance requirements.

 

R&D Activities

Rane (Madras) Limited

Specific R&D activities that Rane (Madras) limited focused on in the fiscal year ended March 31, 2018:

  • Expanded range of hydro static steering unit with new features
  • Design and development of anti-shock valve hydrostatic steering gear unit for farm tractors
  • Designed and developed new cylinders in various capacities and sizes
  • Performance enhanced 2 and 3-piece tie rods for farm tractors (power steering version tractors)
  • Developed new technologies in noise attenuation in steering gears
  • Designed and developed new technology linkage products enhancing life
  • Low end lift ball joint for enhanced durability lifespan

Rane Engine Valve Limited
Specific R&D activities that Rane Engine Valve Limited focused on in the fiscal year ended March 31, 2019:

  • Continued to improve productivity and quality during the year; capacity utilisation improved by 600 bps during the year.
  • Proactive R&D engagement with customers and alignment of technology road map


Rane Brake Lining Limited

Specific R&D activities that Rane Brake Lining Limited focused on in the fiscal year ended March 31, 2019:

  • Created capacity for the Two-wheeler segment at the Puducherry plant with focus on quality enhancement and automation.
  • Added 2 MW additional solar power to cater to the requirements of the plants in Tamil Nadu.