Bajaj Auto posts flat Q1 profit at Rs 739.98 crore on weak motorcycle sales

Written by Agencies | New Delhi | Updated: Jul 17 2014, 18:07pm hrs
Bajaj AutoSales volume of Bajaj's motorcycles slumped 16.5 percent between April and June, hit by sluggish sales in the domestic market.
Bajaj Auto Ltd today reported a marginal increase in its net profit at Rs 739.98 crore for the first quarter ended June 30, 2014.

The company had posted a net profit of Rs 737.68 crore in the same quarter last fiscal.

Net sales during the period under review stood at Rs 5,133.37 crore as against Rs 4,808.73 crore in the year-ago quarter, the company said in a statement.

Bajaj Auto said its exports revenue during the first quarter stood at Rs 2,251 crore as against Rs 1,876 crore in the corresponding period last fiscal.

Unit sales volume during the period grew marginally to 9,88,430 units as against 9,79,275 units in the same quarter last fiscal.

Shares of Bajaj Auto were trading at Rs 2,089.15 per scrip in the mid-day trade, down 2.39 per cent, from the previous close on the BSE.

Bajaj Auto Q1 net flat

(Reuters) Bajaj Auto, India's second-largest motorcycle maker, reported a flat quarterly profit, lagging expectations, hurt by sluggish sales volumes in the domestic market.

Bajaj said on Thursday standalone net profit was 7.4 billion rupees ($123 million) for its fiscal first quarter to end-June, compared with 7.38 billion rupees a year ago. Net sales rose 6.7 percent from a year earlier to 51.33 billion rupees.

Analysts on average had expected a profit of 8.16 billion rupees on revenue of 51.99 billion rupees, according to Thomson Reuters I/B/E/S.

Sales volume of Bajaj's motorcycles slumped 16.5 percent between April and June, hit by sluggish sales in the domestic market. This has put Bajaj behind its rival TVS Motor Co , which moved up a notch to become India's third-largest two-wheeler company by unit sales.

Bajaj, valued by the market at $10.4 billion at Wednesday's close, is the worst performer so far this year among Indian automobile companies.

The stock has gained 12.2 per cent so far this year at Wednesday's close, underperforming the automobile sector index, which was up 32.3 percent over the same period.