Maruti Suzuki Q2 Results: Profit Beats Estimates On Higher Sales
The highest-ever quarterly net sales helped the company beat analysts' estimates.
Maruti Suzuki India Ltd.’s second-quarter net profit rose as sales jumped on a low base.
India’s largest carmaker’s net profit surged 334% year-on-year to Rs 2,061.5 crore in the quarter ended September, according to its exchange filing. That compares with the Rs 1,867-crore consensus forecast of analysts tracked by Bloomberg.
The highest-ever quarterly net sales helped the company beat analysts' estimates.
Maruti Suzuki Q2 FY23 Highlights (YoY):
Revenue up 46% to Rs 29,931 crore, against estimates of Rs 29,039.6 crore.
Operating profit stood at Rs 2,769 crore against Rs 856.7 crore a year ago.
Operating margin stood at 9.3% against 4.2% a year ago, and forecast of 6.4%.
The operating margin improved due to a fall in costs as employee and raw material bill declined 390 and 100 basis points, respectively, as a percentage of net sales.
In the second quarter, the company sold 5,17,395 units compared with 3,79,541 units last year. Chip shortage had dented production a year earlier, creating a supply shortage. In the April-June quarter, it sold 4,67,931 units.
The supply shortage has also inflated the Gurugram-based company's order book.
"Pending customer orders stood at about 4,12,000 vehicles at the end of this quarter, out of which about 1,30,000 vehicle pre-bookings are for recently launched models," the company said in a press release.
The Brezza maker's net profit more than doubled and revenue from operations rose 13% over the quarter ended June.
Shares of Maruti Suzuki were trading 2.7% higher against a 0.1 % rise in the benchmark Nifty 50 as of 2:34 p.m.