Car maker Maruti Suzuki on Thursday reported a 24.1 per cent year-on-year rise in its net profit at Rs 1,941.40 crore during the October-December quarter of the ongoing financial year on higher sales volume and cost reduction.
Sequentially, the net profit rose 41.5 per cent from Rs 1,371.60 crore in the preceding July-September quarter. On a consolidated basis, net profit rose 25.8 per cent year-on-year to Rs 1,996.7 crore during the December quarter.
The company's standalone net sales rose 13.2 per cent to Rs 22,236.7 crore. The auto maker posted a 13.4 increase in vehicle sales during the quarter at 4.95 lakh units, with domestic sales growing 13 per cent to 4.67 lakh units.
Maruti Suzuki's operating profit rose 19.3 per cent to Rs 1,484.80 crore in October-December, while operating earnings before interest and tax expanded 40 basis points to 6.7 per cent of sales in the quarter.
The company attributed the improvement in margin to higher capacity utilisation, lower sales promotion expenses, cost reduction efforts and higher fair value gains on invested surplus. However, its cost reduction efforts were partially offset by increase in commodity prices and adverse foreign exchange movement.
For April-December period, Maruti Suzuki reported a 29.7 per cent year-on-year decline in net profit at Rs 3,063.60 crore. Its vehicle sales during the period fell 18 per cent to 9.65 lakh units.