Eicher Motors Q3 Results Review - Inline; Stable Performance Despite Weak Mix: Motilal Oswal

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .Motilal Oswal Report.Eicher Motors Ltd.'s Q3 FY23 consolidated revenue/Ebitda/profit after tax grew 29%/47%/62% YoY to Rs 37.2 billion/ Rs 8.6 billion/Rs 7.4 billion in Q3, and grew 50%/77%/88% YoY in nine months-FY23. Q3 FY23 Royal Enfield volumes grew 31% YoY. Realisations declined 3% YoY to Rs 162,200/unit (estimate: Rs 165,100/unit) due to a weak mix (higher Hunter contribution and lower exports). Eicher Motors' consolidated gross margin expanded 150 basis points YoY (-60 bps QoQ) to 41.8% (estimate: 42.1%), supported by price hikes and partial benefits of commodity cost savings. Higher-than-expected operating costs led to an Ebitda margin miss at 23% (+280bp YoY/-30bp QoQ, estimate: 23.9%). The share of profit after tax from VE Commercial Vehicles Ltd. came in at Rs 639 million (in line, +78% YoY). Higher other income boosted adjusted profit after tax to Rs 7.4 billion (+62% YoY, in line). While we largely retain our FY23E earnings per share, we cut FY24E EPS by 11% as we lower our volume estimates for domestic and exports and margin estimates..Click on the attachment to read the full report:.More Research Reports On Eicher Motors' Q3 FY23 Results Review.Sequential Margin Expansion Expected: SystematixValuation Leaves Little Upside: Dolat Capital.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Eicher Motors Q3 Results Review - Inline; Stable Performance Despite Weak Mix: Motilal Oswal

Eicher Motors' consolidated GM expanded 150 bps YoY to 41.8%, supported by price hikes, partial benefits of commodity cost savings

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