Companies

Robust sales drive Maruti net up 27%

Priya sundarajan | | Updated on: Jan 28, 2016
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Forex gains, cost cutting initiatives help rev up profit

The country’s largest carmaker, Maruti Suzuki India, has reported a 27 per cent jump in net profit, at ₹1,019 crore, for the third quarter ended December 31 against ₹802 crore in the same period of the previous year.

Net sales rose 20 per cent to ₹14,768 crore during the quarter against ₹12,263 crore in the October-December in 2014, the company said.

“Higher volumes, material cost reduction initiatives and favourable foreign exchange contributed to profit during the quarter,” Maruti Suzuki said.

The company sold 3,74,182 vehicles in the third quarter, a growth of 15.5 per cent over the 3,23,911 units sold in the corresponding period of the previous fiscal year.

According to analysts, the results were in line with their estimates.

“Operating results adjusted for one-off items were in line with our estimates.

“Maruti Suzuki’s revenues expectedly grew 20 per cent year-on-year, driven by a robust 16 per cent volume growth.

“New product launches coupled with festival demand enabled the company to clock strong volumes,” said Bharat Gianani, Senior Research Analyst (Automobile), Angel Broking.

Maruti Suzuki’s shares closed at ₹4,093.55 on the BSE on Thursday, down 0.37 per cent from the previous close.

Published on January 19, 2018

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