Mahindra and Mahindra (M&M) on February 10 reported a 13.5 percent jump in its standalone net profit at Rs 1,528 crore during Q3 FY 2023, up from Rs 1,335 crore in the same quarter of the previous fiscal.
The company's revenue from operations was up 41 percent at Rs 21,654 crore from Rs 15,349 crore during the quarter ending December.
Anish Shah, Managing Director & CEO, M&M Ltd, said, “We have had another robust quarter led by the robust performance of our Auto division. Our farm division also reported healthy growth with increased market share. Our capital allocation actions are continuing to show results and we remain committed to our journey of growth and returns.”
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The Mumbai-based automaker sold 1,76,094 vehicles in the December quarter, 45 percent higher than the corresponding period last year. The company's tractor sales also went up by 14 percent YoY during Q3 FY 2023.
Rajesh Jejurikar, Executive Director, M&M Ltd, said, “Our efforts towards creating segment leading products and improving operational efficiencies have led to achievement of highest ever quarterly revenue and PBIT in Q3 F23 for Auto and Farm sectors." He also stated that the recent launch of the XUV400 was successful, making the vehicle the fastest booked electric SUV in India.
M&M said the XUV400 bookings of more than 15,000 within 13 days.
M&M's Earnings before interest, tax, depreciation and amortization (EBITDA) were up 56 percent at Rs 2,814 crore from Rs 1,803 crore and the margin was up at 13 percent. The Mumbai-based firm's operating margins also improved by 130 basis points at 13% in the said quarter.
Manoj Bhat, Group Chief Financial Officer, M&M Ltd, said, “Our operating margins improved by 130 basis points YoY led by operating efficiencies and our focus on fiscal discipline. We recorded our highest ever quarterly group revenue reflecting strong growth across businesses.”
As per industry estimates, the auto major was expected to report robust earnings in the third quarter of the financial year 2022-23 (Q3FY23) because of record sales of its SUVs witnessed during the months of Oct-November'22. M&M stated that it continues to maintain the leading position in the SUV revenue market share at 20.6 percent in the third quarter.
Meanwhile, M&M's shares decreased by 0.54 percent at Rs 1,365.20 apiece on the BSE on February 10.
