2 months ago
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Auto & farm equipment major Mahindra & Mahindra Ltd. reported third quarter standalone net profit grew 60.59% to ₹2,453.98 crore as compared with ₹1,528.06 crore in the year earlier period due to robust performance of its auto business, both in terms of margin and volume expansion.
The company’s standalone revenue grew by 16.78% to ₹25,288.51 crore during the quarter from the year earlier period.
Consolidated net profit marginally fell to ₹2,658.40 crore as compared with ₹2,676.56 crore in the year earlier period. But the company said the figures were not comparable.
It said the adjusted profit after tax grew 34% to ₹2,658.40 crore over the same period last year. Last year the company had reported gains on Swaraj Engines Ltd. and Mahindra Sustain. Also there was an impairment in the trucks business last year.
Consolidated revenue grew to ₹35,218.32 crore from ₹30,620 crore in the year earlier period.
Anish Shah, Managing Director & CEO, M&M Ltd. addressing a press conference said, “Our businesses have delivered a solid operating performance this quarter. Auto continues to gain market share and grew rapidly to double its profit. Farm has gained market share despite tough market conditions.
“In Services segment, Mahindra & Mahindra Financial Services Ltd. had its lowest ever GS3 [Gross Stage 3 assets] and credit costs are trending as per guidance. TechM is working through challenging operating results but I feel good that the right actions are being taken to turnaround its performance,” he added.
Rajesh Jejurikar, Executive Director & CEO (Auto and Farm Sector), M&M Ltd. said, “We had a strong quarter for both Auto and Farm businesses. We were number one in SUVs with revenue market share of 21% in Q3 while further improving our Auto Standalone PBIT margins.”
“We increased tractor market share by 80 bps to 41.8% in Q3 even as the Tractor industry contracted on back of last year’s high base, weather vagaries, lower reservoir levels and stress in the rural markets,” he added.
He said the company’s E-3W business maintained its market leadership with Q3 market share of 54%.
The company has managed to reduce the waiting period of its vehicles and gearing up to commercially introduce the first born electric vehicle in early 2025.
