Bajaj Auto Q2 Results: Net profit rises 9.2% YoY, revenue top ₹13k crore-mark for first time; EBITDA at record high

Bajaj Auto Q2 Results: Bajaj Auto announced its July-September quarter results for fiscal 2024-25 (Q2FY25) on Wednesday, October 16, reporting a rise of 9.2 per cent in standalone net profit at ₹2,005.04 crore, compared to ₹1,836.14 crore in the corresponding period last year. The two and three-wheeler major's said that adjusting for the exceptional deferred tax provision, the net profit was at a new record at ₹2,216 crore, up 21 per cent year-on-year (YoY).

The auto major's total revenue from operations in the second quarter of the current fiscal rose 22 per cent to ₹13,127.47 crore, compared to ₹10,777.27 crore in the year-ago period. Bajaj Auto's total revenue from operations crossed the ₹13,00-crore mark for the first time ever in the quarter-under-review arising from new highs on both vehicles and spares.

Bajaj Auto Q2 Results: Key Metrics

According to Bajaj Auto, the revenue growth was underpinned by double-digit volume growth on the back of yet another robust domestic performance and a steady recovery of exports, further buoyed by a richer sales mix.

The auto major said that its reported net profit was at ₹2,005 crore after making an additional provision of ₹211 crore to account for the cumulative one-time impact on “Deferred Tax on Investment Income due to the withdrawal of indexation and change in tax rate in the Finance Act, 2024.”

On the operational front, the auto major's earnings before interest, taxes, depreciation, and amortization (EBITDA) was ₹2,653 crore, registered its best ever, growing a 24 per cent YoY compared to ₹2,133 crore in the year-ago period. EBIT margin during the September quarter was 20.2 per cent compared to 19.8 per cent in the same period last year.

“Dynamic management of the business enabled margins to be held constant while offsetting the drag from the significant step up of e2Ws and commodity inflation; the +40 bps YoY accretion was driven primarily by favourable currency and operating leverage,” said Bajaj Auto.

The green energy portfolio scaled up to reach new milestones, with around 100k total units sold in September and 100k electric vehicles sold in the September quarter. The portfolio comprising electric and CNG vehicles across both the 2W and 3W portfolio now contributes 40 per cent of total domestic revenues.

Bajaj Auto's sustained momentum in the domestic business led to its highest revenue and tenth consecutive quarter of double-digit growth on both motorcycles and commercial vehicles. The near-trebling of electric scooters propelled it. The export revenue grew in double digits on better USD/INR realisation, a richer mix and another record quarter for LATAM.

Pulsar continues to gain traction across markets as it delivered its highest quarterly sales of >11 OK units , while Africa (notably Nigeria) albeit lower than the previous year, continues to see an encouraging directional uptick, partly aided by focussed interventions taken

Motorcycles maintained double digit growth, as Pulsar's premiumization thrust drives sports segment competitive outperformance

lmpactful launch of 'Freedom 125', the world's first CNG integrated bike, which halves operating costs and offers best in class rider comfort features (first in class mono-linked type suspension, long quilted seat); >30K units billed since start, now across >350 cities

Domestic market focus saw Triumph deliver 50% QoQ volume (1 OK domestic, 16.5K total) from an extended network of >100 dealers. Elevated the modern classic product line up with the launch of the Speed T4 (technology packed for relaxed riding experience) and the MY25 Speed 400 (upgrade of the erstwhile Speed 400 offering a beefier look with enhanced performance features)