M&M to announce Q4 earnings today: Here's what brokerages are expecting

Mahindra & Mahindra, scheduled to report earnings on May 28, is likely to post more than Rs 1,200 crore profit for the quarter ended March 2021, supported by healthy rural demand and richer product mix. The company had posted a loss of Rs 3,255 crore due to write down of investment in Ssangyong in Q4FY20.

According to brokerages, revenue growth could be around 40 percent on the back of strong volume growth on a low base in a year-ago quarter, and operating growth may be more than 60 percent in Q4FY21 YoY. Price hikes and favourable product mix could boost realisation.

M&M reported a healthy 33 percent year-on-year growth in total volumes driven by 58 percent YoY increase in tractor volumes and 17 percent YoY rise in auto volumes.

"We estimate revenues to increase by 43 percent YoY led by 10 percent YoY increase in average selling prices (ASPs) due to richer product mix, and 33 percent increase in volumes in Q4FY21," said Kotak Institutional Equities which sees profit at Rs 1,223.1 crore for the quarter.