Rico Auto Industries Limited , a prominent player in the automotive components sector, has announced the successful passage of five special resolutions through a postal ballot, marking significant corporate governance decisions for the company.

Shareholder Approvals

The shareholders of Rico Auto Industries have given their nod to several important resolutions:

1. Commission for Non-Executive Directors: Approval for the payment of commission to non-executive directors, recognizing their contributions to the company's governance.

2. Independent Director Reappointment: Ms. Sarita Kapur (DIN: 08848507) has been reappointed as an Independent Director, ensuring continuity in the company's independent oversight.

3. Executive Leadership Renewals: Three key executives have been reappointed as Whole-time Directors, designated as "Executive Directors":

   • Shri Kaushalendra Verma (DIN: 02004259)
   • Shri Rajiv Kumar Miglani (DIN: 06873155)
   • Shri Samarth Kapur (DIN: 01525517)

These reappointments reflect the company's confidence in its current leadership team and their ability to drive future growth.

Voting Process and Results

The resolutions were passed through a postal ballot process that included remote e-voting facilities, adhering to modern corporate governance practices. The voting results and the scrutinizer's report are available on the company's website ( www.ricoauto.in ) and the National Securities Depository Limited (NSDL) platform ( www.evoting.nsdl.com ), ensuring transparency and accessibility for all stakeholders.

Business Expansion into Railways

In a separate but significant development, Rico Auto Industries has announced the establishment of a new business vertical focused on the railway sector. This strategic move expands the company's product portfolio to include high-quality cast and machined components for tracks, wagons, and carriages.

Key points of the railway business expansion include:

• Manufacturing will take place at the company's Dharuhera facility.
• The product range will cater to critical railway infrastructure components.
• Supply of some components to the railways has already commenced, indicating a swift implementation of this new business initiative.

This expansion into the railway sector represents a diversification of Rico Auto's business interests and potentially opens up new revenue streams for the company.

The approval of these resolutions and the announcement of the new railway business vertical demonstrate Rico Auto Industries' commitment to strengthening its governance structure while also pursuing strategic growth opportunities in adjacent sectors.

Investors and stakeholders will likely be watching closely to see how these corporate decisions and the new business venture impact the company's performance in the coming quarters.

Rico Auto Industries , a prominent player in the auto components sector, has released its financial results for the fourth quarter, revealing a significant decline in net profit despite stable revenue.

Financial Performance

The company reported a consolidated net profit of ₹73.60 crore for the fourth quarter, marking a substantial 55% decrease from ₹163.00 crore in the same period last year. This sharp decline in profitability comes despite the company maintaining its revenue levels.

Revenue Stability

Rico Auto Industries demonstrated resilience in its top-line performance, with revenue for Q4 remaining steady at ₹550.00 crore. This figure matches the revenue reported in the corresponding quarter of the previous year, indicating a consistent demand for the company's products despite challenging market conditions.

Key Highlights

The stark contrast between the stable revenue and the sharp decline in net profit suggests that Rico Auto Industries may have faced increased costs or other challenges that have impacted its bottom line. These factors could include rising raw material prices, higher operational costs, or changes in the competitive landscape.

As the auto components industry continues to navigate through various market dynamics, including the ongoing transition to electric vehicles and global supply chain pressures, Rico Auto Industries' performance in the coming quarters will be closely watched by investors and industry analysts alike.