Sundram Sales Decline

Jason Sandefur

Sundram Fasteners reported sales during the fourth quarter of 2007 dropped 2% to 2.97 billion rupees (US$75.4 million), while net income slipped 13% to 180.4 million rupees (US$4.6m). The figures fell short of expectations, with analysts having forecast a net profit of 193 million rupees on sales of 2.92 billion rupees.
“Profits fell on account of lower realisation on exports and increase in cost of raw materials,” Sundram Fasteners stated. The price of steel rose more than 40% in 2007 while the rupee appreciated 12.3% against the dollar, the company said.
During the quarter Sundram Fasteners president Sampathkumar Moorthyn revealed aspirations of acquiring a manufacturer in North America. Sundram already has a sales office and warehouse in the Detroit suburb of Troy, MI. Chennai, India-headquartered Sundram has manufacturing plants in India, Germany, the UK and China and an assembly operation in Malaysia. Web: sundram.com �2008 FastenerNews.com