Eicher Motors recorded an 8% year-on-year (y-o-y) increase in consolidated net profit for the September quarter at Rs 1,100 crore driven by rise in revenues, beating the dip in motorcycle volumes. Bloomberg estimate of net profit for the same quarter was Rs 1,086 crore.
Revenue from operations at Rs 4,186 crore was 4% higher from a year ago. It was lower than the Bloomberg estimate of Rs 4,414 crore. Earnings before interest, depreciation, tax and amortisation (EBITDA) was unchanged at Rs 1,088 crore. EBITDA margin for the quarter was 25.5%, down 90 basis points compared to the same quarter last year.
Motorcycle volumes dipped 2% to 225,317 units, while truck and bus volumes rose by 6% to 20,774 units. International business of Royal Enfield grew 11% y-o-y to 21,715 units, representing 10% of the total two-wheeler volume.
On Royal Enfield, the company said it has refrained from taking price hikes. “We have not taken any price increase from last year to this year,” Vidya Srinivasan, CFO, Eicher Motors said.
B Govindarajan, CEO, Royal Enfield and wholetime director, Eicher Motors said, “This quarter we launched motorcycles — the Guerrilla 450 and the Classic 350 in an all new avatar and response to both these motorcycles has been remarkable.”
Earlier this month, Royal Enfield launched two motorcycles, Bear 650 and Classic 650. In addition, it also forayed into electric mobility with a new EV brand — the Flying Flea. The launch of this electric motorcycle is scheduled for 2026.
The company has opened a manufacturing and assembly unit in Bangladesh. The facility will engage in local production and assembly of four flagship models—Hunter 350, Meteor 350, Classic 350, and Bullet 350, specifically for the Bangladesh market. Royal Enfield is also in the process of setting up a second completely knocked kit plant in Brazil.
