Bajaj Auto’s standalone net profit rose 42 per cent year on year to ₹1,665 crore for the first quarter of FY24. 

Revenue from operations clocked a record ₹10,310 crore, up 29 per cent year on year (16 per cent quarter on quarter). Bajaj recorded the highest quarterly EBITDA of ₹1,954 crore, a growth of 51 per cent year on year (14 per cent quarter on quarter).

Margin, at 19 per cent, was up +280 basispoints year on year, driven by dynamic price vs cost management, better foreign exchange realisation and operating leverage; the slight dip sequentially was from the planned typical seasonal skew for commuter motorcycles, the company stated on Tuesday.  

Also read: Bajaj Auto expects gradual increase in exports by 2023 end

Robust growth

“Domestic revenues registered its biggest-ever quarter, maintaining its double-digit growth trajectory yet again. All businesses contributed to the delivery — robust double-digit motorcycle growth, consistent industry leading three-wheeler performance and steady scale-up on Chetak EV,” the Bajaj Auto press statement added.

According to the statement, amidst the continued currency/macro challenges in overseas markets, export volumes improved sequentially by 12 per cent, while country retail volumes outstripped export-billed volumes yet again as decisive interventions, taken particularly on currency availability, enabled the uptick in shipments to Africa and Latin America.

“Motorcycles deliver volume-led growth with share gain; the Pulsar brand scales a new peak on volumes and revenue,” the company said. 

Electric three-wheeler

The company has launched electric three-wheelers across both cargo and passenger segments in select markets to a very encouraging initial response.

On ICE three-wheelers, the compelling proposition and superior delivery of the Bajaj ‘RE’ and ‘Maxima’ products continued to drive the faster-than-industry growth and market share accretion to about 80 per cent for the first time.

Steady expansion of Chetak EV is well underway — volumes up >2x quarter on quarter and 3x year on year with the network now extended to 90 cities, according the company.

Emphasis remains on enhancing capabilities in the supply chain; investing in product research and development and growing retail presence will allow for a sustainable business model and competitive play, the company added. 

“Focus on cash generation remains – added ₹2,000 crore of free cash flow during the quarter and surplus funds at ₹19,582 crore as on June 30 2023 (vs ₹17,445 crore as on March 31) — provide sufficient capacity for growth, competitive investments and shareholder returns,” the company said in the release. 

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