Hero MotoCorp clocks 36 pc rise in Q1, net profit at Rs 1,123 crore
India's largest two-wheeler maker Hero MotoCorp on Tuesday reported a 36 per cent jump in standalone net profit to Rs 1,123 crore for the April-June quarter of the current financial year from Rs 825 crore in the same quarter of 2023-24.
IANS
Aug 13, 2024 11:28
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New Delhi, Aug 13 (IANS) India's largest two-wheeler maker Hero MotoCorp on Tuesday reported a 36 per cent jump in standalone net profit to Rs 1,123 crore for the April-June quarter of the current financial year from Rs 825 crore in the same quarter of 2023-24.
The company said that the higher profit was driven by strong sales, recovery in the rural market and new launches.
The two-wheeler maker’s revenue from operations rose 16 per cent during the quarter to Rs 10,144 crore from Rs 8,767 crore in the same period of the previous financial year.
In consolidated terms, the revenue and net profit for the first quarter stood at Rs 10,211 crore and Rs 1,032 crore, respectively.
The company’s EBITDA (earnings before interest, taxes, depreciation, and amortisation) increased by 21 per cent to Rs 1,460 crore during the previous quarter while its operating margin went up by 0.6 per cent to 14.4 per cent.
Hero MotoCorp said that it has witnessed positive trends across domestic, EV and global businesses during the quarter. It expects the momentum to build up in the following quarters on account of positive customer sentiments, good monsoons and the upcoming festive season.
HeroMotoCorp CEO Niranjan Gupta said: "We are seeing a sharp recovery in market share in the 125 cc segment charged by the new model Xtreme 125 cc, while we continue to maintain formidable market share in entry and deluxe 100/110 cc segment of over 70 per cent powered by our brands like Splendor, Passion, and HF deluxe."
"Our focus moving forward will be, building our brands in the premium segment on the back of launches done in the last few quarters, to win in this segment. We will be launching new models in scooters as well in the next 2 quarters to re‐energise this portfolio," he added.
He also said that the company’s EV brand Vida had started to increase its presence and market share, and there are plans to expand the portfolio into the affordable segment within this financial year.
The company’s share price was hovering around Rs 5,229.55 apiece on Tuesday.
