Maruti Suzuki India Q1 FY 2023 Results: Net Profit Grows By 79 Per Cent

Maruti Suzuki India Limited reported a 79 per cent hike in net profit year-on-year, at Rs. 1,012.8 crore for the first quarter (April - June 2022), as against Rs. 440.8 crore in the same quarter a year ago. The company's revenue from operations grew by 176 per cent to Rs. 1,260.7 crore, compared to Rs. 77.9 crore in the same period last quarter. During the quarter, Maruti Suzuki registered net sales of Rs. 25,286.3 crore as against Rs. 16,798.7 crore, clocking a growth of 40 per cent.

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The company said the increase in prices of commodities adversely impacted the operating profit in Q1 FY2022-23. And so, it was forced to increase the prices of vehicles to partially offset this impact. The Profit Before Tax was also impacted by the non-operating income being lower in this quarter due to mark-to-market loss. Maruti Suzuki continued to work on cost reduction efforts to minimize the impact on customers.

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Moreover, the shortage of electronic components in this quarter resulted in about 51,000 vehicles not being manufactured, while pending customer orders stood at about 280,000 vehicles at the end of the quarter and the company is making efforts to serve these orders fast. However, the company emphasized that its performance in Q1 FY2021-22 was affected by the pandemic-related shutdowns and disruptions and hence a comparison of Q1 FY2022-23 with Q1 FY2021-22 is not ideal.

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During Q1 FY2022-23, Maruti Suzuki reported total sales of 4,67,931 vehicles, registering a growth of 28 per cent compared to 3,53,614 units sold in the same quarter a year ago. The domestic sales grew by 25.5 per cent as figures stood at 3,98,494 units as compared to 3,08,095 units during the same quarter a year ago. However, the company registered its highest ever exports 69,437 units sold as against 45,519 units, a hike of 42 per cent in the same quarter a year ago.