Ashok Leyland profits rise in FY15

Ashok Leyland has recorded sales revenues of Rs 13,562 crore as against Rs 9,943 crore in the previous financial year. EBITDA stood at Rs.1,027 crore during FY 2014-15, against Rs.117 crore in the previous fiscal. Profit Before Tax (PBT) and exceptional items stood at Rs.341.26 crore during FY 2014-15, against a loss of Rs.596.88 Crores in the previous fiscal. Net profit was at Rs.334.80 crores, against a net profit of Rs.29.38 crores in the previous fiscal. During the year, the commercial vehicle major generated surplus cash of around Rs.2000 crore, aided by positive accruals, qualified institutional placement (QIP), sale of non-core assets, and reduction in working capital, all of which resulted reduction in debt. Said Vinod K. Dasari, MD, “Our efforts towards the transforming the company in terms of pruning costs, rationalizing overheads, reducing working capital, and at the same time investing smartly in new products and network are paying off. The industry has turned the corner and so have we. I am confident that coming years will see us build on this momentum.” Ashok Leyland’s share in the M&HCV segment has shown improvement with domestic sales of 66,442 vehicles. This has been claimed to have resulted from an enhanced product range, which includes the 3718, Boss, Captain and JanBus. Expansion of network even during the slow down has been attributed as one of the reasons for the good performance. downturn. Also contributing to the good performance were factors like a renewed focus on customer and network profitability, annual maintenance contracts, insurance and extended warranty. The Board of Directors have recommended a dividend of 45 per cent.

Volvo buses are Bus Body Code compliant

With the enforcement of Bus Body Code from April 1, 2015, Volvo Buses India has announced that its buses are compliant and ready. A release put out by Volvo Buses has claimed not only are its buses fully compliant, they are being offered with ABS as standard. The Bus Body Code claimed Volvo sources, include active safety, passive safety and personal security solutions in the form of driver & passenger awareness, information items as well as tools specially designed for use in the event of an emergency. The mandate to make ABS a standard feature in commercial vehicles has far reaching implications for road safety, VRV Sriprasad, Managing Director, Volvo Buses India expressed that the implementation of the Bus Body Code is an important landmark for the bus industry. He added, “Volvo Buses will continue to bring in new technologies and features, while continuing to emphasise on making good drivers even better at out Driver Training Centre. It is our strong belief that safety begins with driver behaviour and best practices. Volvo has trained close to 60,000 drivers till date, which includes about 26,000 bus drivers alone. This gives us confidence to focus on preventing accidents itself.”

Cholamandalam partners with Escorts Ltd. for loans on construction equipment

Cholamandalam Investment and Finance Company Ltd. (Chola) has entered a strategic tie up with Escorts Ltd. for retail finance of their Construction Equipment products. Chola is a leading NBFC in the Vehicle Finance business and provides loans for the purchase of commercial vehicles across 530 cities and towns across India. We see many of our customers’ also purchasing construction equipment for their business operations and have recently started offering loans for the purchase of construction equipment also. The tie up with Escorts will help us further enhance our offering to our customers through a wide range of construction equipment and Back hoe loaders manufactured by Escorts.
Escorts Ltd. is one of India’s top manufacturers of agri machinery, construction and material handling equipment, railway equipment’s and auto components. Escorts manufacturers and markets a diverse range of construction and material handling equipment like cranes, loaders, vibratory rollers and forklifts. They have a wide distribution network of over 16 sales offices, 50 dealerships locations and 140 outlets across India. Vellayan Subbiah, Managing Director of Cholamandalam Investment and Finance Company Limited, says “ The Tie up with Escorts draws out mutual synergies with Chola being able to offer financing options over a wider range of products to its customers, and Escorts standing to gain from our Pan-India presence and access to over 5 lakh  customers. We see Escorts as a natural partner and look forward to this tie up translating into a long standing partnership.”
Sunil Saksena, Chief Executive Officer, Escorts Limited, Construction Equipment Division, says “This strategic tie-up will enable Escorts and Chola expand reach to the customer, give him one stop solution. This will draw the best both Chola and Escorts have to offer and increase our customer base. This is a historic movement for both the organisations and we are delighted about the tie-up.

Stanadyne bets big on NXG technology for cleaner emissions

Stanadyne, a global leader in the design and manufacture of diesel and gasoline fuel systems, announced today that it aims to introduce its latest technology in next-generation diesel fuel injection equipment to India in time for the introduction of low-sulfur fuel. The company aims to strengthen its market presence in India and will produce these next-generation diesel fuel injection systems at its Chennai plant, requiring an investment of approximately Rs. 100 Crores over the next few years.

Today’s diesel engines are a leading contributor to air pollution in India. Particulate levels have grown 40% in major cities across the country in the past decade creating an urgent need for clean technology. At present, several cities in India have been reported to be amongst the worst air quality cities in the world.

“With evolving requirements to reduce emissions, fresh thinking in fuel injection systems is needed, particularly for engines below 50 HP,” says Stanadyne President and CTO Dr. John Pinson. “These engines, often used in farming, construction and industrial sectors, are responsible for more than 95% of off-road particulate emissions.”

In 2016, Stanadyne will introduce a new fuel injection system for the under 50 HP engine market that will decrease particulate emissions by 50% while providing better fuel economy of up to 8%. For a typical farm application, the fuel savings could translate to up to Rs. 15,000 per year.

The new product is being developed by Stanadyne’s engineering team in India with the Indian sub-continent market in mind. This new product introduction will be a key revenue driver and is projected to double Stanadyne’s sales in India over the next several years.

Stanadyne’s technology and new products is positioned to address the dual concerns of high fuel costs and air quality emissions resulting in better quality of life in India.

Speaking on the occasion, Dr. John Pinson, President and CTO, Stanadyne said, “We at Stanadyne invest heavily in new product technology as well as global manufacturing and engineering facilities. India is an important market for Stanadyne and we have developed this innovative fuel injection system that will enable manufacturers to achieve breakthrough efficiency, increased performance and lower emissions.”

Speaking on the occasion, Mr. Sanjay Chadda, Managing Director, Stanadyne India said, “Our product portfolio for the market has been engineered for the next generation of engines and emission norms. Our facility here has a fully integrated engineering and technology team responsible for the design, development, testing and manufacturing of products, so as India looks to raise its emissions norms, we stand ready to work with regulators and manufacturers alike to implement technology that provides significant benefits to the environment and end user.”

Stanadyne systems reduce the cost of ownership, make small engines feel more powerful and lessen engine noise. The company’s strong R&D team has found a way to scale down its already proven pump technology for engines below 50 HP, which will enable a reduction in particulate emissions by 50% while improving engine power and fuel economy.

The Stanadyne facility in Chennai has a fully-integrated engineering and technology team responsible for the design, development, testing and manufacturing of products for India that have been redesigned from the ground up to handle the demanding usage patterns of off-road industrial engines.

Spark Minda, Ashok Minda Group & Vehicle Access Systems Technology Llc (VAST), USA enter into a Joint Venture – “Minda VAST”

Global Automotive Component manufacturer  Spark Minda, Ashok Minda Group has entered into a Joint Venture partnership with “Vehicle Access Systems Technology Llc.(VAST)”, USA, a group with a global presence as valued supplier of strategic vehicle access components and systems to targeted global customers and known for “Key solutions for automotive world”.
This joint venture entity between two groups named as Minda VAST Access Systems Private Limited (“Minda VAST”) will have operations in Pune and Delhi-NCR.
VAST, USA is a highly qualified, global supplier of security/ access control products for the motor vehicle industry. It will support to the Joint Venture for – the locksets, steering column locks, latches, strikers, socket bows, handles, immobilizers, passive entry, start systems, ignition switches, hinges, power access etc. With approx. 1.2 bn USD in sales and around 8,000 employees, VAST is one of the global market leaders in the access systems business.
The manufacturing facilities are based at Germany, Mexico, Czech Republic, US, China and Brazil. The Group is an alliance of three Member Organizations and related operating entities that is directed by a single management team in order to effectively serve global customers. The Member Organizations of VAST are WITTE Automotive from Velbert/ Germany, STRATTEC Security Corporation from Milwaukee/ WI and ADAC Automotive from Grand Rapids/ MI (both USA).
The Joint Venture is a 50:50 partnership between VAST Group and Minda Management Services Limited, an affiliate of Minda Corporation Limited and Spark Minda, Ashok Minda Group of New Delhi, India. The new collaboration is expected to further strengthen the partnership between the two groups.
Mr. Ashok Minda, GCEO, Spark Minda, Ashok Minda Group said, “We are delighted to have partnered with VAST. The strategic alliance is step towards ensuring support to meet the expectation of targeted and strategic customers. VAST’s global presence will help us to reach out to more areas and expand our base & offer new technology with latest products to our Customers”. Mr Ashok Minda further commented that this Joint Venture will act as a catalyst for the future growth of Spark Minda, Ashok Minda Group.
On this Joint Venture, Mr. Frank Krejci, President & CEO of STRATTEC commented: “We are very excited to join a partner with the history of success and capabilities of Spark Minda and its affiliates.  We view them as a leading company in the Indian market and they have also been very effective in playing an important role in supporting global programs.”  fc3b2a7b-16fa-43ee-bfe7-6b58541de10a_TempSmall

VE Commercial Vehicles sells 3930 units in April 2015

VE Commercial vehicles Ltd. (A Volvo Group and Eicher Motors joint venture) has sold 3930 units in April 2015 (YTD 14950) as compared to 3503 units in April 2014(LYTD 13484) recording a growth of 12.2%.(YTD Growth of 10.9%) This includes 3838 units of Eicher Brand and 92 units of Volvo Brand.
The following are the key highlights for Apr 2015:
·  Eicher branded trucks and buses have recorded total sales of 3838 units in Apr 2015(YTD 14601) as compared to 3434 units in Apr 2014(LYTD 13248), representing a growth of 11.8%.(YTD Growth if 10.2%)
·  In the domestic CV market ( 5T and Above), Eicher Trucks and Buses have recorded sales of 3501 units in Apr 2015 (YTD 13264) as compared to 2791 units(LYTD 11483) in Apr 2014, representing a growth of 25.6% (YTD Growth of 15.5%)
·  On the Exports front Eicher Trucks and Buses have recorded sales of 335 units in Apr 2015(YTD 1335) as compared to 643 units in Apr 2014(LYTD 1765).
·  Volvo trucks have recorded sales of 92 units in Apr 2015(YTD 349) as compared to 69 units (LYTD 236) in Apr 2014, a growth of 33.3% (YTD Growth of 47.9%)

JCB delivers ten backhoe loaders to earthquake hit Nepal

JCB today moved to support the relief effort in earthquake-hit Nepal with the donation of diggers and electrical power generators worth around $1 million.

Ten backhoe loaders were made available immediately to the Nepalese Army and are now at work in the areas worst hit by the disaster which has left more than 5,000 people dead and 10,000 injured.

JCB Chairman Lord Bamford said: “It is shocking to see the devastation caused by this earthquake and the resulting widespread damage and destruction. On behalf of JCB, I express my heartfelt condolences to everyone affected by this natural disaster. JCB will continue to help the Nepalese Government in very possible way.”

JCB supplied the backhoes through its dealer, MAW Enterprises Pvt Ltd, in Nepal. The electrical power generators are also en route from JCB India’s factory in Delhi to help stricken communities caught up in the quake.
The JCB backhoe loaders have been deployed to help ground relief efforts in the aftermath of the earthquake which measured 7.8 on the Richter Scale. In the coming weeks and months, the donated machines will be used in reconstruction efforts.

JCB has a long history of helping countries affected by major natural disasters, providing $500,000 worth of machines and generators to the Philippines when Typhoon Haiyan struck in 2013. Machines were also donated when earthquakes struck in Haiti in 2010 and in China in 2008 and to southern India, Sri Lanka and Indonesia in 2004 following the Boxing Day Tsunami. 6e1cfd46-c7f1-4aad-8932-80d2938a6047_TempSmall