Mahindra & Mahindra Ltd posted a 13.2% year-on-year growth in standalone net profit for the September quarter on the back of record sports utility vehicle sales volumes.
The automaker clocked a standalone net profit of Rs 3,840.88 crore, against Rs 3,393.06 crore in the year-ago period. Revenue from operations also rose 13% on year to Rs 27,553.26 crore.
“SUV volumes increased by 18% YoY, maintaining leadership in revenue market share, with an increase of 190 bps YoY on the back of two successful launches. Volume market share for LCVs <3.5T stands at 52.3%, a rise of 260 bps YoY,” M&M’s Executive Director and CEO for the Auto and Farm Sector Rajesh Jejurikar said.
In the Auto segment, M&M achieved record sales volumes of 2.31 lakh units with a growth of 9% from the same quarter the previous year. Sales of utility vehicles at 1.36 lakh units were also at an all-time high. Revenue grew 15% on year to Rs 21,755 crore, while the segment’s profit jumped 40% to Rs 1,423 crore.
In the Farm equipment business, M&M recorded the highest-ever market share of 42.5% during the quarter, as volumes improved 4% on year to 92,000 units. The segment however, saw profit remain flat at Rs 800 crore amid macro headwinds in international markets. The segment’s revenue was down by 2% to Rs 8,194 crore.
The company noted its standalone operating margin improved to 14.3% from 12.8% in the year-ago period.