Mahindra & Mahindra (M&M) announced a 66.7 percent increase in sales to Rs 19,613 crore in Q1 FY23 compared to Q1 FY22, leading to a 66.9 percent increase in standalone net profit to Rs 1,430 crore.
Mahindra & Mahindra Sales
In Q1 FY23, Farm Equipment Sector (FES) revenue was Rs 6,689 crore (up 25.8% YoY), compared to Rs 12,306 crore (up 103.4 percent YoY) from the Auto segment. From Rs 1,631 crore in Q1 FY22 to Rs 2,341 crore in Q1 FY23, EBITDA increased by 43%. Compared to 13.9 percent in Q1 FY22, the EBITDA margin was 11.9 percent in Q1 FY23. 1,49,803 vehicles were sold overall in Q1 FY23, an increase of 74% year over year.
During the period under consideration, there were 1,17,413 total tractor sales, an 18% YoY increase. The company’s net profit increased dramatically on a consolidated basis from Rs 424 crore in Q1 FY22 to Rs 2,196 crore in Q1 FY23. During the quarter, revenue rose by 48 percent YoY to Rs 28,412 crore.
Their achievement this quarter is a result of their focus on upholding the obligations to their stakeholders and customers, according to Anish Shah, managing director & CEO of Mahindra & Mahindra. All of our group firms experienced great growth, driven primarily by the auto and farm industries’ impressive performance.
They earned the greatest quarterly sales for the Auto and Farm divisions and delivered a strong operational and financial performance in Q1 FY23, according to Rajesh Jejurikar, executive director of M&M. M&M continues to hold the top spot in the SUV Revenue Market Share, while FES maintained its dominance with a 42.7 percent market share in tractors.
Demand for Automotive Product Portfolio
The demand for the automotive product portfolio is still high with 273k+ bookings. They are anticipating the next phase with the unveiling of the Born Electric Vision later this month after the successful launch of Scorpio-N.
The fact that they were able to achieve solid returns despite the volatility is a tribute to the business model, according to Manoj Bhat, group chief financial officer of M&M Ltd. They are making good progress toward their growth and RoE objectives.
In India, M&M Group is a market leader in financial services, farm equipment, utility vehicles, and information technology. By volume, it is the biggest tractor company in the world. It is well-established in the fields of agriculture, logistics, hospitality, and renewable energy. The stock decreased 1.32 percent to trade at Rs. 1245.30 on the BSE at this time.
Read: Top earning Indian influencers aged 55 years or above in 2022
