- 20 Jan 2022
- ICICIdirect Research
BAL reports steady performance in Q3FY22
News: The company reported a steady performance in Q3FY22 with sales for the quarter coming in at Rs.8,806 crore up 3% QoQ. Blended ASPs for the quarter were at Rs.74,537/unit (up 1.7% QoQ) amid total volumes pegged at 11.8 lakh units, up 3.2% QoQ. EBITDA for the quarter came in at Rs.1,372 crore with corresponding EBITDA margin at 15.2% (down 80 bps QoQ). PAT in Q3FY22 was down 4.7% QoQ to Rs.1,214 crore.
Views: Quarterly performance was broadly on expected lines. Gross margins decline for the quarter were at ~100 bps QoQ, with the real surprise coming in the form of savings realised under other expenses which for the quarter stood at 6.3%. Key monitorables, going forward, at Bajaj Auto would be margin trajectory amid stable raw material price regime, demand outlook at its key export markets and further outlook on electrification.