MUL Net Rises 40% To Rs 146 Crore

New Delhi, May 21: | Updated: May 22 2003, 05:30am hrs
Maruti Udyog Ltd (MUL) announced 40 per cent growth in net profit at Rs 146.4 crore on a virtually flat turnover of Rs 9,426 crore for the year-ended March 2003. The companys net profit stood at Rs 104.5 crore on a turnover of Rs 9,398.9 crore in 2001-02. Maruti Udyogs profit before tax during the year was Rs 282.1 crore, a growth of 138 per cent over Rs 118.3 crore in 2001-02.

Maruti sold 3,62,426 vehicle units during the year, a growth of about 2.8 per cent over 2001-02. Vehicle sales included exports of 32,240 units, a growth of 163 per cent over 2001-02.

The profit was largely attributed to aggressive cost-cutting measures and enhanced productivity, a company statement said.

Suzuki Motor Corporation of Japan, which raised its equity to a majority 54.2 per cent last year, said the profits was also due to enhanced productivity in in-house manufacturing and vendor facilities.

During the year, Maruti engineers worked closely with component suppliers, leading to a reduction in the cost of components and further improvements in quality. The localisation levels for components also went up and helped in reducing costs.

The company was able to increase productivity in in-house manufacturing and at vendors facilities.