Eicher Motors Q3 results: Net profit surges 34% to Rs 996 crore, beats estimates

Eicher Motors Limited (EML) on February 13 reported 34.43 percent YoY increase in consolidated net profit at Rs 995.97 crore for the quarter ended December 31, 2023, helped by higher volumes and price increases of its product lines.

The company’s Profit after Tax (PAT) during Q3 FY23 was Rs 741 crore.

The Gurgaon-based automaker’s revenue from operations increased 12.28 percent to Rs 4,179 crore in Q3FY24, up 12 percent compared to Rs 3,721 crore in the corresponding quarter of FY 2022-23.

EML's results have exceeded Moneycontrol’s estimates of Rs 959.28 crore.  As per the average of five brokerage estimates, Eicher Motors was expected to announce a 29.49 percent YoY increase in consolidated net profit at Rs 959.28 crore. Revenue was expected to jump by 8.24 percent to Rs 4,027.74 crore, as per the same estimates.

Eicher Motors' EBITDA was Rs 1,090 crore, up 27 percent compared to Rs 857 crore in the same quarter of the previous financial year. Its operating margin stood at 26.08 percent vis-a-vis 23.03 percent last year.

The company's bike-making arm Royal Enfield sold 229,214 motorcycles in the quarter, an increase of four percent compared to 219,898 motorcycles sold over the same period in FY 2022-23.

While talking about the company’s performance in the quarter gone by, Siddhartha Lal, Managing Director, EML, said, “It has been a good quarter for us at Eicher Motors, as we recorded solid business and financial performance across the board. We have strengthened our portfolio and further built on our success as we launched two new motorcycles.”

EML’s commercial vehicle arm VECV recorded its highest ever Q3 sales at 20,706 units. As of December 2023, Year-to-Date (YTD) sales reached 59,828 units, marking a 12.4 percent increase from the previous year’s 53,247 units.

“At VE Commercials Vehicles, we recorded our best third quarter ever, with strong sales and improved market share across all business segments. We have recently announced our entry into the growing Small Commercial Vehicle segment with an Electric-First offer which will be available from 2025,” added Lal.

Shares of Eicher Motors ended 0.39 percent lower on the BSE at Rs 3,857.10.