Exports to be higher in 2009-10: Maruti Suzuki

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Maruti Suzuki has announced its fourth quarter numbers of FY09. Its Q4 standalone net profit went down by 18.32% at Rs 243.13 crore versus Rs 297.68 crore.

The company's standalone net sales increased by 32.41% to Rs 6,334.37 crore versus Rs 4,783.88 crore, YoY. 

Its topline was above estimates of Rs 6,221 crore while bottomline was below expectations of Rs 363.1 crore.

Maruti's other operating income came in at Rs 98.5 crore as against Rs 159 crore. The depreciation cost went down to Rs 197 crore from Rs 311 crore, YoY

Key Takeaways from Maruti Suzuki's concall:

There is a 17% rise in unit sales.

Its EBITDA stood at Rs 2433.4 crore; slipped by 22%.

The Forex fluctuation affects the bottomline of the company.

The company's 2009-10 export is expected to be higher.

There is marginal increased in market share from 51.4% to 52.2%.

The company has 15000 sales force; have humility to accept market conditions.

It has reached landmark production capacity at 1 m units/yr.

The company has expanded its network to cover 461 more cities.

It has taken steps of moderate inventory if markets spring a negative surprise.

The forward contracts cover 1/3 of the currency exposure.

Will turn net Forex earner in FY10; improvement in Yen will help

There is no MTM loss taken on ECB yet.

The company has suffered Rs 21 cr MTM loss on Foreign Exchange Loans in Q4.

The company has done capex of Rs 600 crore and in the next year will do a capex of Rs 700 crore.

Cash in balance sheet is at Rs 4700 crore on March 31, 2009.

Other operating income had one extraordinary income of Rs 47 cr in Q4 FY08.

The company has reached landmark production capacity at 1 mln units/yr.

 

Benefits of commodity prices cooling off to come in Q1FY10 onwards.

 

Its forward contracts cover 1/3 of the currency exposure.

 

Forex earnings will turn positive in FY10.

 

It has suffered Rs 121 cr MTM loss on Foreign Exchange loans in Q4. 

For further details, listen to concall.......