Endurance Technologies posted a very weak set of Q3 earnings. The European business was hit by lower car registrations and higher energy prices. In fact EU revenue is down almost 20 percent year over year for two straight quarters and margin is at a 6-quarter low as well.
Speaking to CNBC-TV18, Ramesh Gehaney, ED and COO of Endurance Technologies said, “As far as Europe is concerned the only problem we are facing is the energy prices, which are not being truly compensated by the OEM because they are equally affected by the same issue and that is why it affects our margins.”
“As far as the volumes are concerned semi-conductor continues to be an issue where the allocations may have increased but the numbers are not increasing.”
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He said new car registrations are also coming down, it was down 23 percent in Q3, and in January it is down 6 percent.
Going forward Gehaney is confident that things will improve.
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