Eicher Motors, a leading motorcycle and commercial vehicle manufacturer has reported its financial result for FY2023.
Royal Enfield and VECV both reported highest ever quarterly revenue in Q4 FY2023. The motorcycle business revenue came at Rs 3,804 crore, up 19 percent, EBITDA of Rs 934 crore, up 23 percent and net profit of Rs 906 crore, compared to Rs 610 crore a year ago. During the quarter, Royal Enfield sold 214,685 motorcycles, up 17.9 percent YoY.
On the other hand, Volvo Eicher Commercial Vehicles revenue came at Rs 6,200 crore, up 43.9 percent YoY, EBITDA of Rs 619 crore, up 114.7 YoY and net profit of Rs 319 crore, compared to Rs 99 crore a year ago. During the quarter, VECV recorded the highest-ever quarterly sales of 26,376 units, compared to 20,093 units sold last year.
For FY2023, Eicher Motors reported record results with revenue of Rs 14,442 crore (+40%), EBITDA at Rs 3,444 crore (+58.5%) and net profit of Rs 2,914 crore (+73.8%). During the year Royal Enfield sold a record 834,895 motorcycles up 38 percent, and crossed the 100,000 unit export milestone for the first time.
VECV on the other hand reported revenue of Rs 18,952 crore (+48.9%), EBITDA of Rs 1,369 crore (+91.2%) and net profit of Rs 581 crore, versus Rs 111 crore last year. The company sold a record 79,623 CVs, marking a growth of 39.5 percent YoY.
Eicher Motors has announced CAPEX of Rs 1,000 crore for FY2023-24, which it says will go towards EV manufacturing facility and product development; and new product development under Internal Combustion Engine portfolio.
Siddhartha Lal, MD, Eicher Motors said, “The world has settled into a ‘new normal’ after two years of chaos and uncertainties that kept throwing business out of gear. We saw overall stabilisation of supply chain, markets, and also the organisation, and made significant progress on all important initiatives resulting in our best ever business and financial performance, both at Royal Enfield and VE Commercial Vehicles.”
B Govindarajan, CEO, Royal Enfield and Wholetime Director, Eicher Motors said, “Beyond volumes and market share, our bigger achievement and highlight this year has been expanding the market itself. With the launch of our new motorcycles, the Hunter 350 and Super Meteor 650, we have been able to bring in a completely new set of consumers into the Royal Enfield community.”
“We have a strong line-up of motorcycles for the forthcoming year, and robust plans for growth, with our sights firmly fixed on our long term strategic objectives. We will also aggressively work towards expanding our reach in existing and newer international markets during the upcoming year,” added Govindarajan.
Vinod Aggarwal, MD and CEO VECV said “FY2023 was a break-out year for VECV. We recorded our best-ever performance and registered our highest ever sales of 77,760 units. With a strong focus on customer-centricity supported by industry leading initiatives in digitalisation, retail excellence, superior product technology and service delivery, we have made good progress towards our mission of modernising commercial transportation in India and developing markets. Our commitment towards increasing Uptime to our customers, coupled with strong focus on price and cost management, supported improvement in profitability despite high inflation and supply chain disruptions.”
