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- 27 Oct 2023
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MARUTI SUZUKI Q2 RESULTS 2024: NET PROFIT RISES BY 80%
MARUTI - 12611 Change: -88.00 (-0.69 %)
Maruti Suzuki reported its Q2FY24 numbers on Friday afternoon during the market hours. The share price jumped after the result announcement and was trading at Rs 10,745 or 3% higher at 3 p.m. Let us look at everything in detail about Maruti's for Q2FY24.
About Maruti Suzuki
Maruti Suzuki is an Indian automotive manufacturer known for producing a wide range of cars, including popular models like the Swift, Alto, and Baleno. It is a subsidiary of Suzuki Motor Corporation and has been a dominant player in the Indian automobile market for several decades, offering reliable and affordable vehicles.
Crucial Parameters
- PE: 33.08
- 52-week high: Rs 10,846.10
- Market Cap: Rs 3,24,675.65 crore
- ROE: 15.77
Share price movement
In the last month, Maruti Suzuki's shares have traded flat on the positive side. In 2023, the returns are above the benchmark. The share price has increased by nearly 28% in 2023. However, for the 5-year time frame, the share price has been below the benchmark, with 50% returns.
How has Maruti Suzuki performed in Q2FY24?
Let us look at Maruti Suzuki's Sep'23 numbers in detail:
Sales Volume: In Q2FY24, the company sold a total of 5,52,055 vehicles. Compared to the September quarter last year, the sales volume has increased by 6.7% from 5,17,395 vehicles sold back then. It is the highest-ever quarter sales volume reported by the company.
Operating EBIT: Maruti's operating EBIT for the second quarter was Rs 3,990.10 crore, up 95%. In the year-ago period, the company reported an EBIT of Rs 2,046.30 crore. The company's nonoperating income increased by 30 basis points in the Sep'23 quarter, which led to higher Operating EBIT. Sequentially Op. EBIT was up by 78.5%.
Profits: The company reported exceptional growth in profits. The profits increased from Rs 2,061.50 crore in Q2FY23 to Rs 3,716 crore in Q2FY24, a growth of 80%. Sequentially, the profits are up by 49.6%. It is the highest-ever quarterly profit reported by the company.
Margins: Maruti Suzuki's margins have improved in the September quarter. The company has not disclosed the numbers but provided positive factors for margin improvement. They are as below:
- Improved realization
- Softening of Commodity prices
- Cost reduction efforts
- Relatively better sales volume leading to improved capacity utilization
- Higher non-operating income
How has Maruti Suzuki done in the domestic market in Q2FY24?
For the domestic market, the company's passenger vehicle wholesales grew by ~8%, higher than the industry growth of ~5%. Maruti Suzuki achieved leadership in the SUV segment, supported by a strong product lineup. Also, the company achieved a market share of 23.3 % in the SUV segment. Finally, it reported highest highest-ever quarterly sales of CNG vehicles of ~1,18,000+ units.
How were Maruti Suzuki's exports in Q2FY24?
The company started exporting Jimny-5 Door to Latin America, the Middle East, and Africa. By exporting ~69,000 units, the company continued to be the largest exporter of Passenger Vehicles from India.