Ashok Leyland Limited's (ALL) net profit jumped 16.73 percent to Rs 933.69 crore during the fourth quarter of financial year 2023-24 due to strong demand for its products, both in the light and medium commercial vehicle (L&MCV) segments. The Chennai-based automaker’s profit after tax (PAT) during Q4FY23 stood at Rs 800 crore.
The flagship company of the Hinduja Group's consolidated revenue from operations in the quarter under review stood at Rs 13,577.58 crore as compared to Rs 13,202.55 crore in the year-ago period. Its total expenses in the fourth quarter were marginally lower at Rs 12,037.16 crore as compared to Rs 12,085.5 crore in the corresponding period of the previous year.
For the fiscal ended March 31, 2024, the company's net profit was at Rs 2,696.34 crore as compared to Rs 1,358.82 crore in the previous fiscal. In FY24, its consolidated revenue from operations was at Rs 45,790.64 crore as compared to Rs 41,672.6 crore in FY23.
The company claimed that the results were backed by an "all-round performance" with contributions from all business verticals. In the M&HCV Bus segment, it claimed that it has emerged as market leader with a market share gain of 5.8 percent points.
Dheeraj Hinduja, Chairman, Ashok Leyland Limited said: “We continue to be optimistic about our industry prospects in the short to medium terms backed by anticipated robust growth in the Indian economy."
ALL's overall CV volumes at 194,553 units were very close to the previous high of 197,366. Its LCV Volumes in the 2-3.5 tonne category were maintained despite the industry witnessing a reduction in volumes. Export volumes for the year grew 5 percent despite challenging conditions in target markets.
On the outlook, Ashok Leyland Chairman Dheeraj Hinduja said, "We continue to be optimistic about our industry prospects in the short to medium terms backed by anticipated robust growth in the Indian economy." He further said the company was confident that it would continue to maintain sustainable and profitable growth year after year.
Shenu Agarwal, Managing Director & CEO, Ashok Leyland Limited stated that FY24 has been a "strong year" as it has achieved all-time high numbers in terms of revenues, EBITDA margins or profits .
"This gives us even more strength to move towards our medium-term goal of mid-teen EBITDA. Our product portfolio is very robust, and our future pipeline is strong. We are confident that our product superiority and our expanding reach will help us to further improve our market share as well as our price realisations,”noted Aggarwal.
Meanwhile, the board of directors of the company, at their meeting held on March 25, 2024, has declared an interim dividend of Rs 4.95 per equity share of Re 1 each, for the year ended March 31, 2024.
On May 24, Ashok Leyland's shares slipped 0.87 percent to end at Rs 210.55 a piece.
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