Mahindra & Mahindra Ltd.'s profit rose in the third quarter, aided by higher sales in the automotive business.
The company's consolidated net profit rose 25% over a year earlier to Rs 2,676.6 crore in the quarter ended December, according to its exchange filing. That compares with the Rs 1,723.4 crore consensus forecast of analysts tracked by Bloomberg.
M&M recorded its highest-ever quarterly group revenue and continued to lead in terms of revenue market share in the SUV segment for the fourth consecutive quarter.
M&M Q3 FY23 Highlights (YoY):
Revenue rose 30% to Rs 30,620.2 crore, compared with the Rs 21,790-crore estimate.
Ebitda profit grew 16% to Rs 5,252.6 crore, compared with the forecast of Rs 2,750 crore.
Ebitda margin stood at 17.2% versus 19.2% last year and 12.6% estimated.op
The automaker's standalone revenue rose 41% year-on-year to Rs 21,654 crore, while its net profit grew 14% to Rs 1,528 crore.
"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," Anish Shah, managing director and CEO, said in a statement.
The company's passenger vehicle sales jumped 59% year-on-year to 91,135 units due to the low base of last year, when shortages of semiconductors drastically reduced production. Tractor sales rose 14% to 1,05,765 units.
The open bookings for SUVs stood at over 2,66,000 as of Feb. 1, reflecting strong demand, the company said.
Shares of M&M were trading 0.2% lower after the results were announced, compared with a 0.4% fall in the Nifty 50 at 1:00 p.m.
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