Bajaj Auto's First Quarter Net Up One Percent


Mumbai, Jul 18 (IANS): Two- and three-wheeler maker Bajaj Auto Wednesday reported a marginal increase of one percent in net profit for the first quarter of the current fiscal.

The net profit stood at Rs.718 crore from Rs.711 crore in the corresponding quarter of 2011-12.

The company reported a four percent growth in turnover for the period under review at Rs.5,048 crore from Rs.4,850 crore in the first quarter of last fiscal.

The company's exports revenue grew three percent at Rs.1,738 crore from Rs.1,688 crore in the corresponding quarter of last fiscal.

The auto manufacturer sold one percent less units in the quarter under review which stood at 1,078,971 units from 1,092,815 units sold in the corresponding quarter of 2011-12.

"The quarter witnessed subdued domestic demand, disruption in exports, rising input cost," the company said in a statement.

"Bajaj Auto's strategy of managing growth with profitability and building a sustainable growth momentum has resulted in maintaining its industry-leading EBITDA (earnings before interest, taxes, depreciation and amortization) margin of 19.4 percent for first quarter of 2012-13."

Domestic motorcycle sales were down by one percent at 618,489 units. However, exports were up seven percent at 364,134 units. Overall motorcycle sales in the first quarter of 2012-13 were marginally higher by two percent at 982,623 units.

"Demand in domestic market remains subdued. Domestic market witnessed a growth of six percent. Bajaj Auto, in contrast, witnessed a flat sale," the company said, adding that its overall market share, including exports, in the motorcycle segment remained steady at 32 percent.

In terms of commercial vehicle segment sales, the company reported an increase of six percent at 44,837 units. Exports plunged by 41 percent at 51,511 units. Overall commercial vehicle sales in the period under review were down by 26 percent at 96,348 units.

"Bajaj Auto witnessed a growth of six percent as against a flat industry growth. Share in domestic market, for Bajaj Auto, stood at 40 percent. Bajaj Auto, due to restrictions by importing countries and political unrest in Egypt, lost sales of 25,000 units in this quarter," the company added.

  

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Title: Bajaj Auto's First Quarter Net Up One Percent



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