Moneycontrol Bureau
Bajaj Auto's September quarter earnings surpassed analysts' expectations on all counts Wednesday. Profit during the quarter shot up 57.9 percent to Rs 933 crore compared to year-ago period, driven by strong operational performance, other income and low base in Q2FY15 despite higher tax cost.
In Q2FY15, profit was hit by one time penalty of Rs 340.2 crore from Uttarkhand government on account of National calamity contingent duty case.
Total income from operations grew by 2.3 percent to Rs 6,098 crore in July-September quarter compared to Rs 5,963.1 crore in same period last year due to subdued volume growth. The company sold 10.56 lakh vehicles during the quarter, an increase of 0.1 percent over same quarter previous fiscal.
According to a CNBC-TV18 poll, profit was estimated at Rs 896.2 crore on revenue of Rs 5,995 crore for the quarter with EBITDA rising 11 percent and margin expansion of 200 basis points.
Other income spiked 34.3 percent to Rs 152.6 crore from Rs 113.6 crore during the same period.
Operating profit (earnings before interest, tax, depreciation and amortisation) surged 17 percent year-on-year to Rs 1,318 crore and margin expanded by 270 basis points to 21.6 percent in quarter gone by, supported by lower expenses.
Total expenses during the quarter declined nearly 1 percent on yearly basis to Rs 4,858.7 crore with a 2 percent decline in raw material cost and 8.2 percent fall in other expenses.
Tax expenses jumped 90.6 percent to Rs 458.41 crore in September quarter compared to Rs 240.53 crore in year-ago period.
At 14:53 hours IST, the scrip of Bajaj Auto was quoting at Rs 2,522.50, up Rs 84.20, or 3.45 percent amid high volumes on the BSE.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
