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From investors and analysts, it brought in sharp criticism. And for the company itself, it highlighted the need for deep introspection. Why did Telco come to such a pass? According to Mr Ravi Kant, executive director, commercial vehicles business unit, Telco, the Rs 500 crore loss is a combination of operating loss and one-time charges. So, the actual operating losses amount to around Rs 270 crore which can mainly be attributed to drop in volumes of mainly the heavy and medium commercial vehicles.
Mr Praveen Kadle, senior vice president, corporate affairs adds, that the company has been massively hit by the recession in the industry as there was a general economic slowdown where increase in fuel prices did not lead to a commensurate increase in freight rates...
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