InvestorQ : What was the reason for the losses at Force Motors?
Neelam Naik made post

What was the reason for the losses at Force Motors?

Answer
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Priyanka N answered.
1 month ago


The normally profitable and highly valued Force Motors reported consolidated net loss of Rs. 64.99 crore in the Jun-20 quarter due to the impact of the pandemic. This compares with net profits of Rs.26 crore in Jun-19.

Overall revenues fell sharply by over 75% at Rs.185.4 crore, largely on the back of the lockdown lag effect. COVID-19 led to prolonged shutdowns of its plans leading to a huge impact on the top line and the bottom line in this quarter.

The company management has also cautioned that the numbers may not be comparable due to the extraordinary circumstances that Force had to operate under. Force sees traction returning to seals by the Mar-21 quarter.