Maruti Q2 profit -5%, discounts@record
Hit by an unprecedented violence at its Manesar plant and low sales, the country's largest car maker Maruti Suzuki today reported 5.41 per cent fall in net profit at Rs 227.45 crore for the quarter ended September 30.
During the quarter, the company also doled out an all-time high average discount of Rs 14,750 per car to push sales of its models, mainly the petrol ones.
The company had posted a net profit of Rs 240.45 crore in the corresponding period last year.
The net sales during the second quarter of this fiscal, however, went up by 8.53 per cent to Rs 8,070.11 crore, from Rs 7,435.85 crore in the year-ago period.
"This quarter was an unusual quarter. There was challenging environment... The company had an unfortunate incident of labour violence in July and had locked out the Manesar plant," MSI Managing Director and CEO Shinzo Nakanishi told reporters here.
He also said due to the price difference between diesel and petrol, automobile industry continued to be skewed towards diesel products during the quarter.
"The overall industry sales for petrol vehicles declined by 20 per cent, while that of diesel increased by 40 per cent during the quarter," Nakanishi said.
In the July-September period, vehicle sales of MSI fell by 8.69 per cent to 2,30,376 units, from 2,52,307 units in the same period last year.
Out of this, the company sold 2,09,954 units in the domestic market compared to 2,22,406 units in the same period previous year. It also exported 20,422 units as against 29,901 units in last
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