[TusharK]

Maruti Suzuki reported a massive jump in profits thanks to strong sales in the first quarter of FY2024. The carmaker's net profit more than doubled to Rs. 2,845 crore during this period.



According to the company, the steep rise in profits can be attributed to larger sales volume, improved realization, cost reduction efforts and higher non-operating income. The carmaker sold 4,98,030 units in Q1 FY2024, recording a growth of 6.4% compared to the previous year. This included domestic sales of 4,34,812 units.

Maruti Suzuki's revenue stood at Rs. 32,326.94 crore – a 22% increase compared to the previous year. The company's profit after tax was Rs. 1,012.80 crore, while net revenue from operations was Rs. 26,499.8 crore.

The carmaker's earnings before interest, taxes, depreciation and amortization increased by 56% to Rs. 2,983.1 crores, while the margin expanded by 200 basis points to 9.2%.

Source: Money Control

Link to Team-BHP News

[itsMridul]

I believe this is because their shift towards cars in the higher price brackets. Especially, introduction of Grand Vitara and continued high sales as well as sales of Brezza and Fronx did wonders for Maruti.

[Gamemaztr]

Net margins of less than 10% for a company like MSIL which is known for amazing cost cutting and having a common parts bin for almost all its cars seems to be the prime reason that car industry in India is not sought after by foreign car manufacturers (GM failed, Ford failed and there could be so many past examples). High taxations and poor policy making and implementation is killing innovation towards making cars in India safer and more comfortable. If we compare Indian cars and their foreign counterparts, Indian cars have always been a step down in terms of quality and safety features.

The Government should stop treating cars below 30 Lakhs as luxury and tax them as necessity.

The profit numbers might look big but if put in perspective of the revenue, it is the very reason MSIL has shied away from innovation as it can have very less to use for itself as most of it could be going to Japan to feed the starving parent.

[volkman10]

Maruti Suzuki tops PV exports for third fiscal in a row.

With its best-ever exports of 280,712 units, Maruti Suzuki retains PV exporter crown in FY2024; Hyundai with 163,155 units way below its previous best of 233,260 units in FY2014; Volkswagen, Honda and Toyota with much-improved overseas shipments move up the export ladder board.

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