Maruti Suzuki India (MSIL) on Tuesday reported a consolidated net profit of ₹2,391 crore for the third quarter ending December 31, which is more than double (129 per cent) of the ₹1,042 crore it registered in the corresponding period last financial year (FY) due to low base last year.

Consolidated revenue from operations also grew 25 per cent year-on-year (y-o-y) at ₹29,057 crore during the quarter in review, as against ₹23,253 crore in October-December 2021, the company said in a statement.

Growing demand

The company sold 4,65,911 units during the quarter, with 4,03,929 units sold in the domestic market and 61,982 units exported, MSIL said. MSIL had sold 4,30,668 units comprising 3,65,673 units in the domestic market and 64,995 units in export markets, in the same period last fiscal.

“Pending customer orders stood at about 3,63,000 vehicles at the end of this quarter, out of which about 1,19,000 orders were for newly launched models,” it said.

In the nine months period (April-December) ended December 31, the company reported a consolidated net profit of ₹5,540 crore, a jump of 176 per cent y-o-y as compared with ₹2,004 crore in the same period last fiscal.

Consolidated revenue for the said period also rose by 39 per cent y-o-y to ₹85,511 crore as compared with ₹61,580 crore in the nine month period of 2021.

The company sold a total of 14,51,237 units during the period. Sales in the domestic market stood at 12,56,623 units and exports were at 1,94,614 units. During the same period previous year, MSIL registered a total sale of 11,63,823 units including 9,93,901 units in domestic market and 1,69,922 units in the export market.

MSI said the launch of models like Grand Vitara and a new version of Brezza has helped it bolster market share in the high selling SUV segment and bring additional volumes.

Going steady

Besides, factors like cost reduction efforts, improved realisation, favourable foreign exchange variation, softening of commodity prices and higher non-operating income also helped in the margin improvement during the third quarter as compared to the same period of last fiscal.

According to analysts, the company posted steady operational performance for the quarter and was broadly in line with estimations on margin front.

MSIL is steadily moving up the technology ladder and is witnessing robust demand for its products in hot selling sports utility vehicle space (SUV) with robust booking pipeline...Further to strengthen its presence in SUV space company has launched two new products in the recently concluded Auto Expo 2023 — Jimny and Fronx,” said ICICI Securities.

Market share gains amidst new product launches in SUV space and improvement in margin profile are the key monitorables at the company going forward, it added.