'Scorpio' SUV manufacturer Mahindra & Mahindra Ltd on February 7 reported 19% rise in net profit at Rs 2,964 crore for the quarter ended December 31, 2024, driven by strong demand for its sport utility vehicles and tractors. It reported net profit of Rs 2,490 crore in the year-ago period.
The auto major reported 20% rise in revenue from operations at Rs 30,538 crore in Q3FY25 as against Rs 25,383 crore in Q3FY24.
The shares of the Thar maker were trading nearly 2% higher on February 7 at 1:30 pm.
According to a Moneycontrol poll of seven brokerage firms, M&M was anticipated to record a 21.8 percent year-on-year increase in revenue, reaching Rs 30,803 crore. Net profit was projected to surge 23 percent to Rs 3,018 crore.
Anish Shah, Managing Director & CEO, M&M Ltd, said: “Our businesses continue to demonstrate strength in execution. Auto and Farm delivered solid performance on market share and margins, on the back of focused execution. The transformation at TechM is gathering momentum. MMFSL continues to balance asset quality and growth priorities, with GS under 4% on the back of strong AUM growth. Our Growth Gems are demonstrating steady progress towards their long-term objectives.”
Rajesh Jejurikar, Executive Director & CEO (Auto and Farm Sector), M&M Ltd. said: “The launch of our flagship Electric Origin SUVs, the BE 6 and XEV 9e set a new benchmark in global innovation. Thar ROXX won the Indian Car of the Year (ICOTY) as well as Autocar car of the year. In Q3 F25, we were No. 1 in SUV revenue market share with 200 bps YoY increase. LCV < 3.5T volume market share is at 51.9%, a gain of 230 bps. The Auto segment PBIT is up by 120 bps YoY. We achieved highest ever Q3 tractor market share at 44.2%, gain of 240 bps YoY, and farm PBIT is up by 260 bps YoY.”
Auto and Farm continue to deliver on growth and margins with profits up 16%, said M&M in a regulatory filing.
Amarjyoti Barua, Group Chief Financial Officer, M&M Ltd. said, “Our Q3 consolidated results reflect strong performance across multiple businesses despite global headwinds. Our operating businesses remain laser focused on execution and we remain committed to disciplined capital allocation to drive long term shareholder value creation.
Its SUV volume grew 20% in the quarter, as did those of its tractors.
Rising farm incomes have helped boost tractor demand, while surging demand for its 'XUV 3x0' model and a five-door version of its popular 'Thar' SUVs have helped Mahindra sail through an otherwise turbulent year for Indian carmakers.
Its overall volume increased 17% in the quarter.
Higher tractor sales helped boost the operating margin to 15.5% from 14.2%.
Mahindra's consolidated profit, which includes its financial services, IT, hospitality and a handful of other businesses, rose about 20%.
With inputs from Reuters
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