loader2
Login Open ICICI 3-in-1 Account

Entry Price

866.00

Target

1,000.00

Recommend Date

07-02-2021

Return

15.47 %
BUY

Date : 07-02-2021

Mahindra & Mahindra (M&M) reported a healthy operational performance in Q3FY21. Standalone net sales were at | 14,216 crore (up 15.2% YoY) – with automotive and tractor ASPs at | 6.92 lakh/unit (down 1.6% QoQ) and | 5.19 lakh/unit (flat QoQ), respectively. Standalone EBITDA margins at 16% dipped 12 bps QoQ, as operating leverage benefits cancelled out 150 bps contraction in gross margins. Automotive EBIT margins rose ~210 bps QoQ to 6.3% while tractor margins were down ~100 bps QoQ to 23.4%. Standalone PAT for the quarter came in at | 31 crore, impacted by a large impairment hit of | 1,692 crore in relation to long term investments.