Chennai: With the closure of its automotive operations, the Indian Ford’s income from the operation will shrink to less than four tally FY21.
According to newly released reports by Indian rankings, the income FY22 Ford India will drift around Rs 2,000-3,000 Crore, a sharp skid from RS 13,516 Crore at FY21.
Management has now shown that the short-term operational performance of Ford India is likely to be in line with the initial FY20 financial income around Rs 2,052 Crore.
Apart from the sharp decline in income, Ford India still has strong cash and equivalent balance around RS 331 Crore on September 15 compared to nearly Rs 380 Crore on FY21 said the report said.
Ford India’s net debt stood in more than Rs 6,316 Crore on September 15, 2021 compared to TA21 calculating almost Rs 5,230 Crore although 70% of this was in the form of Inter Corporate loans from the parent.
Ford India’s management has indicated that the parent Ford Motor Co will support the cost of India’s restructuring.
This is similar to the track record restructuring company company in other geography, the report said.
Ford India has announced that his parent expects $ 2 billion in costs, especially for FY22-FY24, where cash flows will be $ 1.7 billion and the rest will be non-cash.