The Hindu Business Line : Hero Honda Q4 net dips 27%

New Delhi May 11 Two-wheeler manufacturer Hero Honda Motors Ltd on Friday reported a 27.01 per cent dip in the company's net profit for the fourth quarter-ended March 31, 2007 at Rs 195 crore (Rs 267.19 crore).

However, the company's net sales saw an increase of 17 per cent to Rs 2,639.58 crore (Rs 2,255.88 crore).

The company's margins this year would continue to be under pressure due to rise in material costs, coupled with costs incurred on marketing initiatives for brand building, said Mr Pawan Munjal, Managing Director & CEO, Hero Honda Motors Ltd.

Net profit for the year declined by 11.67 per cent to Rs 857.89 crore (Rs 971.34 crore). However, the company recorded a 13.74 per cent increase in its net sales to Rs 10,089.81 crore (Rs 8,870.26 crore).

During the year, the company launched eight products across segments, including CBZ X-treme, New Karizma, Glamour FI, Glamour with alloy wheels, CD Deluxe, CD Dawn, Passion Plus Limited Edition and the New Achiever with Alloy Wheel, said a company statement here.

"A multi-pronged strategy involving new launches, supported by aggressive communication, saw a steady sales growth throughout 2006-07. The financial year also saw the laying of foundation stone of our new plant in Haridwar, Uttarakhand, which will commence operation by the middle of this year," said Mr Brijmohan Lall, Chairman, Hero Honda Motors Ltd.

More Stories on : Two/Three Wheelers | Hero Honda Motors Ltd

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Chennai Petro net up 18%; to pay 120% dividend

MRPL back in black, Q4 net at Rs 182 cr

Novartis Q4 net profit grows 19.4%

S. Kumars net sales up

Hero Honda Q4 net dips 27%

Eveready posts net loss on higher turnover last fiscal

Bajaj Allianz posts Rs 54-cr profit