Homegrown automaker Bajaj Auto on Wednesday reported standalone net profit of Rs 1,491.42 crore for the quarter ended 31 December, 2022 registering a growth of 22.8 percent from a year ago. The Pune-based company's profit stood at Rs 1,214 crore in the year-ago period, Bajaj Auto said in a release.
Meanwhile, the company's revenue from operations stood at Rs 9,315.14 crore, up 3 percent year on-year (YoY) led by a better than expected increase in realization. Overall spares revenue came in at an all-time high, it added.
"At Rs 1,777 crore, EBITDA was the highest ever, surpassing the record set in the previous quarter. The strong growth of 29 percent YoY, underpinned by margin expansion of +390 bps YoY to 19.1 percent was led by judicious pricing, better dollar realisation and richer product mix," Bajaj Auto said.
During the quarter under review, the domestic business saw sustained double digit revenue growth across both two wheelers and three wheelers . According to the company, the two-wheeler performance was buoyed particularly by solid 125 cc+ festive season sales while three-wheeler volumes surged, leading to its record high market share.
On overseas business, the quarter marked the launch of motorcycles in Brazil with the Dominar brand. The company, through its wholly owned subsidiary, is establishing its capabilities and go-to-market network to leverage the attractive market opportunity.
Having completed the share buyback in the quarter with a total payout of Rs 3,100 crores (including tax), the balance sheet continues to be healthy with surplus cash of Rs 14,894 crore on 31 st Dec 2022, providing the capacity for growth investments, the company highlighted.
As per Bajaj Auto industry festive demand for domestic motorcycles particularly in the top end commuter or sports segment, was buoyant and the company outperformed with strong growth in the segment. On exports, macro-economic challenges continue to subdue industry volumes across overseas geographies, Bajaj Auto said. "While the Company continues to navigate this situation through decisive actions, market share remains stable and the resilient performance in ASEAN is alleviating in part, the drop in volumes across other regions," it added.
Furthermore, commercial vehicles maintained their path of recovery to pre-covid levels, as the quarter saw strong growth with stepped up volumes and market share hitting an all-time high across segments. It also stated that the Chetak EV business continues to steadily expand - volumes are up 5x over previous year, the thrust on augmenting capabilities supply chain R&D and growing dealership presence is well underway, it added.