Bajaj Auto Q1 Consolidated PAT Declines 20% At Rs 837 Crore
Bajaj Auto has sold a total of 888,434 vehicles (motorcycles + commercial vehicles), during the quarter, thereby registering a year-on-year de-growth of 11 per cent
Photo Credit : Reuters,
Indian two-wheeler manufacturer Bajaj Auto has reported 20 per cent decline in consolidated profit after tax (PAT) for the first quarter of current financial year 2018 and stood at Rs 837 crore as against Rs 1040 crore during same quarter previous fiscal.
The company’s standalone PAT went down 6 per cent during the concerned quarter and stood at Rs 924 crore, informed the two-wheeler maker in an official statement released on Thursday (20 July).
Bajaj Auto has sold a total of 888,434 vehicles (motorcycles + commercial vehicles), during the quarter, thereby registering a year-on-year de-growth of 11 per cent. The company sold 994,733 units in Q1 FY2017.
Sales volume was 409,525 units as against 370,649 units in Q1 / FY17; up by 10 per cent. Efforts on entering new markets have paid dividends and dependence of the company on traditional high volume countries like Sri Lanka, Nigeria, etc. has reduced.
Sales volume mix for high end motorcycles improved to 30 per cent in Q1 FY18 as against 26 per cent in Q1 FY17.
Commercial Vehicle (Domestic)
Sales volume was 52,347 units when compared with 75,204 units in Q1 FY17. Bajaj Auto has claimed that it is the market leader in the petrol and alternate fuel segment with market share 89 per cent. It is also one of the major players in the diesel segment with market share of 33 per cent.
With removal of restrictions on new permits by the state government of Maharashtra, release of new permits by the state government of Delhi and proposed replacement of 2stroke three-wheelers with 4stroke three-wheelers for the city of Bangalore, the company expects to see a reasonably healthy sale of commercial vehicles from Q2 FY18.
In this business vertical, Bajaj Auto has witnessed 53 per cent growth during Q1 FY18. The newly launched KTM models have been extremely well received. KTM 250 sold over 2,300 units while KTM 390 is currently on wait list in the domestic market.
While production has been ramped up, demand still outstrips supply. For June 2017, production (for domestic and international markets) was more than 11,000 units. With the launch of new high-end FY17 KTM motorcycles, operating EBITDA margin has improved further, added the company.
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