₹400 crore in revenue, even as Cummins lost about ₹190 crore. Ebitda is earnings before interest, taxes, depreciation and amortization.Still, both the companies got a sentimental lift in their stock prices of about 2-3% due to the reopening of the economy.
But it seems like a case of putting the cart before the horse.Both face an uphill road to recovery as the post-covid-19 economic grind crimps growth for capital goods companies.
Private sector capital expenditure is moving slowly as capacity utilization levels are low and companies seek to conserve cash.For Thermax, which operates in a different niche compared to Cummins, order inflows during Q4FY20 were lacklustre, falling about 18% from the year-ago quarter.