Rating agency, ICRA Equity Research has assigned fundamental grade of A for Nelcast indicating strong fundamentals. Increasing market share with OEMs coupled with higher realizations supported revenue growth of the company.
Despite the weakness witnessed in the Indian automotive industry during the past three quarters, Nelcast posted a healthy 39.1% growth in revenues during the first nine months of 2011-12, surpassing 2011-12 growth estimates. A diversified customer base spread across commercial vehicle and tractor OEMs, coupled with higher realizations drove revenues.