Country's largest car-maker Maruti Suzuki India today unveiled its Q2 (second quarter) result and said its net profit surged nearly three-fold to Rs 670.23 crore for the second quarter ended September 30, 2013 on low base effect, cost saving initiatives and positive impact of foreign exchange.
Maruti Suzuki India had posted a net profit of Rs 227.45 crore in the corresponding period last fiscal.
"The company's performance during the quarter has to be viewed in the context of unusually low levels of profit in the second quarter of last year (July-September 2012) owing to labour problems in Manesar," Maruti Suzuki India (MSI) said in a statement.
Maruti Suzuki higher localisation and cost reduction initiatives also contributed significantly to bottomline growth during the second quarter, it added.
Maruti Suzuki India said the overall impact of foreign exchange was also positive during the quarter.
Maruti Suzuki net sales during the quarter under review stood at Rs 10,211.83 crore as against Rs 8,070.11 crore in the same period a year ago.
In terms of volumes, sales were up by 19.6 per cent to 2,75,586 units compared 2,30,376 in the year-ago period.
Maruti Suzuki said new diesel engine facility at Gurgaon and the third assembly facility at Manesar went on stream during July-September, 2013.
"With this, the company's total capacity for vehicle assembly is 1.5 million vehicles per annum," MSI said.
Shares of Maruti Suzuki India today closed at Rs 1,513 apiece on the BSE, up 0.41 per cent from the previous close.
Maruti Suzuki Q2 Net zooms nearly three-fold to Rs 670 cr
(Reuters) India's biggest carmaker Maruti Suzuki India Ltd beat analyst estimates by nearly tripling its quarterly net profit, helped by cost cuts and a positive foreign exchange impact.
The profit jumped mainly because Maruti Suzuki India's Manesar factory suffered a breakdown in labour relations in July last year, which led to a month-long shutdown, a $250 million production loss besides one death and over 100 injuries.
Net profit in the July-September quarter was 6.7 billion rupees compared with 2.27 billion rupees a year