Mahindra net profit jumps 14% to Rs 1,528 crore

Pune: Mahindra and Mahindra (M&M), the SUV specialist and tractor maker, on Friday reported a 13.5 per cent jump in its standalone net profit at Rs 1,528 crore during the December quarter (Q3), up from Rs 1,335 crore in the same quarter of the previous fiscal.

The Mumbai-based automaker’s revenue from operations was up 41 per cent at Rs 21,654 crore from Rs 15,349 crore during the quarter ending December.

“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,” Dr Anish Shah, MD & CEO at M&M, said.

The company sold 1.76 lakh vehicles in the December quarter, 45 per cent higher than the corresponding period last year.

Its tractor sales also went up by 14 per cent year-on-year during Q3 FY 2023.

“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,” Rajesh Jejurikar, Executive Director at M&M, said.

Mahindra’s earnings before interest, tax, depreciation and amortization or EBITDA were up 56 per cent at Rs 2,814 crore from Rs 1,803 crore and the margin was up at 13 per cent against 11.7 per cent YoY.

“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,” Manoj Bhat, Group Chief Financial Officer at M&M, said.

Mahindra said it continues to maintain the leading position in the SUV revenue market share at 20.6 per cent in the third quarter.