Maruti Suzuki Q2 Profit: Maruti Suzuki rises over 2% as Q2 net profit surges fourfold

Shares of the country’s largest passenger car maker Maruti Suzuki rose 2.5% to Rs 9,737 in Monday’s intraday trade after the company beat Street estimates to post a nearly fourfold increase in net profit to Rs 2061.5 crore for the second quarter of the FY23 on the back of healthy double-digit growth in sales.

The company reported a net profit of Rs 475.30 crore in the corresponding period of the last financial year.

Revenues from operations in the period under review rose 46% to Rs 29,930.80 crore, from Rs 20,538.90 crore in the year-ago period.

The company sold a total of 517,395 vehicles during the quarter, the highest ever in any quarter. While sales in the domestic market stood at 454,200 units, exports were at 63,195 units.

“Shortage of electronic components impacted production by about 35,000 vehicles in this quarter”, the company said in a statement, adding the same period the previous year was marked by “acute shortage of electronic components”.

consequently could sell a total of 379,541 units in Q2FY22.

The company had pending orders for 4,12,000 vehicles at the end of last quarter. Nearly a third of the bookings are for newly launched models. Operating profit in the last quarter stood at Rs 2046.3 crore, as against Rs 98.8 crore registered in the same period last fiscal. Maruti Suzuki said that the company’s operating profit last year had dipped sharply owing to steep commodity price increases and electronic component supply constraints and hence results of Q2 FY2022-23 are not strictly comparable with those of Q2 FY2021-22.

The company said that it has been making simultaneous efforts in securing electronic components availability, cost reduction and improving realisation from the market to better its margins.

At 10.25 am, the scrip was trading 2% higher at Rs 9684 over its last day’s closing price of Rs 9,494 apiece. The stock has risen nearly 27% in the last six months, while it has surged about 29% year to date.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button