New Delhi: Auto components maker Bosch, which posted 22.65 percent decline in net profit at Rs 259.77 crore for the quarter ended March 31, on Monday said it will invest Rs 650 crore this year on various activities.
The company had posted net profit of Rs 335.82 crore in the corresponding period last year.
The net income during the January-March quarter also fell 3.82 percent to Rs 2,207.45 crore from Rs 2,295.14 crore in the year-ago period.
In a statement, the company said: "Bosch Ltd continues to see great prospects for the Indian market and has therefore allocated a sum of Rs 650 crore for investment for the year 2013."
During the last quarter, Bosch's domestic sales declined by 2.5 percent, while exports fell by 9.5 percent over the same period in 2012 due to weak overseas markets, especially in Europe.
Bosch Managing Director Steffen Berns said: "The automotive market continued to be weak in most of the sectors compared to the same period of the previous year... Compared to the last quarter of 2012, the figures improved."
The higher depreciation provision continues due to the company's investments in capital expenditure in the recent past in order to be prepared for future expansion and growth, and the measures taken to curtail expenditure have already seen some positive results, he added.
"We have been taking adequate steps in improving operational efficiency and effectively utilising our manpower by streamlining our processes and structures. We continue to prepare for future growth with cautious optimism. However, the next few quarters will remain challenging," Berns said.
The company's starter motor and generator division continued good performances, registering a growth of 32 percent compared to the same quarter of 2012.
"The diesel systems division remained flat compared to previous quarter. Non-automotive businesses such as power tools and security technology posted strong growth," Bosch said.
Bosch scrip closed 0.37 percent down at Rs 8,994.55 on the BSE.