Maruti Suzuki Q1 Results Highlights: Net Profit Surges 47% to ₹3,650 Cr

Maruti Suzuki India reported a notable 47% year-on-year rise in net profit for Q1 FY25, amounting to ₹3,650 crore, exceeding market expectations due to reduced input costs enhancing profitability. The revenue for India's leading car manufacturer increased by 10%, climbing from ₹32,327 crore in the same quarter last year to ₹35,531 crore in April-June.

Maruti Suzuki Q1 Results Highlights

Maruti Suzuki India Ltd announced a significant 47% year-on-year increase in its net profit for Q1 FY25, reaching ₹3,650 crore and surpassing market predictions due to lower input costs boosting profitability. The revenue for India's largest car manufacturer rose by 10%, from ₹32,327 crore in the same quarter the previous year to ₹35,531 crore in April-June.

A survey by Moneycontrol, which included estimates from eight brokerages, had anticipated Maruti Suzuki's net profit for the fiscal first quarter to be ₹3,235 crore and revenue to be ₹34,566 crore.

Following the results announcement, shares of Maruti Suzuki climbed by 3.67% to ₹13,346.05 on the NSE.

The company's operating margin for the quarter, measured as EBIT (Earnings Before Interest and Tax), improved by 390 basis points compared to a year ago, reaching 11.1%. This increase was primarily driven by the reduction in commodity prices, as well as cost-cutting measures, favorable operating leverage, and beneficial foreign exchange movements, as detailed in Maruti Suzuki's investor presentation.

During the quarter, Maruti Suzuki recorded an inventory gain of ₹895 crore, a substantial rise from approximately ₹100 crore the previous year, according to the financial results.

The company sold 5.22 lakh vehicles in the April-June period, marking a 5% increase year-on-year.

About Maruti Suzuki

Maruti Suzuki India Ltd (Maruti Suzuki), a subsidiary of Suzuki Motor Corp, specializes in manufacturing and selling motor vehicles, components, and spare parts. Its product range includes vans, passenger cars, and utility vehicles, with major brands such as Baleno, Super Carry, Eeco Cargo, S-Cross, XL6, Ignis, S-Presso, Celerio, Alto, Ertiga, WagonR, Celerio, Swift, DZire, Ciaz, Eeco, and Brezza.

The company also provides various services like finance, insurance, accessories, driving schools, leasing, and fleet management. Maruti Suzuki operates two manufacturing facilities located in Gurugram and Manesar and caters to customers in India, Europe, Asia, Oceania, and Latin America. The company is headquartered in New Delhi, India.