M&M's FY24 net profit jumps by 25%, auto sector contributes with profits growing 2.5x 

On an annual-basis, the company's consolidated net profit increased by 25% to Rs 11,269 crore during FY24 as against Rs 9025 crore in FY23.

By Shahkar Abidi calendar 16 May 2024 Views icon6398 Views Share - Share to Facebook Share to Twitter Share to LinkedIn Share to Whatsapp
M&M's FY24 net profit jumps by 25%, auto sector contributes with profits growing 2.5x 

Mahindra & Mahindra (M&M) reported a consolidated net profit of Rs 2,754 crore in Q4FY24, a jump of 4% year-on-year (YoY) as compared to Rs 2,637 crore in Q4FY23. The operating revenues stood at Rs 35,452 crore in Q4FY24, which translates into 9% YoY increase over Rs 32,456 crore in Q4FY23. 

On an annual-basis, the company's consolidated net profit increased by 25% to Rs 11,269 crore during FY24 as against Rs 9025 crore in FY23. On the other hand, consolidated operating revenues stood at Rs 139078 crore during FY24 as against Rs 121362 crore in FY23, the company informed on Thursday in a regulatory filing.

Dr Anish Shah, MD & CEO, M&M, during a post result conference call with media stated that the automotive segment had another solid year, with profits growing 2.5x. In the farm segment, the company managed to improve upon its market share in a declining industry. "Auto continued its high growth trajectory, farm gained share in a tough market and Mahindra Finance delivered on asset quality."

"TechM (Tech Mahindra) was a weak spot. The turn-around has commenced with the new organisation in place. Growth gems are performing well, with Susten and LMM (last mile mobility) leading the way."

 M&M's standalone net profit during Q4FY24 witnessed a 32% increase at Rs 2038 crore when compared to Rs 1549 crore during a year-ago period. The standalone net revenues meanwhile jumped by 12% to Rs 25,436 crore in Q4FY24 as against Rs 22,614 crore reported in Q4FY23. On an annual basis, the net profit jumped by 48% to Rs 10,718 crore during FY24 as against Rs 7237 crore in FY23. Likewise, the operating revenues jumped to 17% at Rs 1,01,219  crore in FY24 in comparison to Rs 86,645 crore in FY23.

Rajesh Jejurikar, Executive Director and CEO (Auto and farm sector), M&M said,  "We also improved our auto standalone PBIT margin by 190 basis points during this period. In tractors, we achieved a market share of 41.6% a gain on 40 basis points during FY24 and improved our core tractor PBIT margins by 30 basis point. Our machinery segment continued to have robust revenue growth of 32%." 

 

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