Consistent rise in Royal Enfield sales and a recovery in commercial vehicles segment boosted strong operational performance of Eicher Motors in January-March quarter.
A 60 percent jump in Royal Enfield sales in the January-March quarter saw its margins hit a record high of of 29.8 percent in the period. Eicher Motors’ net profit rose by a whopping 71.3 percent at Rs 334.5 crore in January-March from Rs 195.3 crore in corresponding quarter last fiscal.
During the period, total income rose 46.6 percent at Rs 3765 crore against Rs 2568 crore on annual basis. EBITDA in the quarter was up 75 percent at Rs 640 crore compared to Rs 366 crore while EBITDA margin stood at 17 percent versus 14.3 percent year-on-year.
The auto company was expected to see net profit at Rs 345 crore in January-March quarter, up 76 percent (YoY) while revenue was seen jumping 55 percent at Rs 3978 crore. During the period, EBITDA was seen growing 77 percent at Rs 649 crore, according to a CNBC-TV18 poll.
The commercial vehicles segment also posted a healthy sales jump of 38 percent in the same quarter taking the margins higher at 8 percent.
In 2015-16, Eicher Motors has changed its financial reporting period from calendar year to financial year. Therefore, the numbers for the 15-month period (January 1, 2015-March 31, 2016) are not comparable to the immediately preceding calendar year period (January 1 -December 31, 2014).