The Board of Directors of Mahindra and Mahindra Limited announced the unaudited financial results for the quarter ended 30th September 2015 of the company and the consolidated Mahindra Group.
The Gross Revenues and Other Income of the Combined Entity for the quarter ended 30th September 2015 is Rs 10,206 crore as against Rs 10,268 crore in the corresponding quarter of the previous year. The Profit before tax for the current quarter is Rs 1,310 crore as against Rs 1,240 crore in the corresponding quarter of the previous year– a growth of 5.7%. The Net Profit after tax for the current quarter is Rs 978 crore as against Rs 974 crore in the corresponding quarter of the previous year.
In the current quarter, the passenger vehicle market grew 6.3%, with good growth in the car segment, while the UV segment continued to be under pressure and de-grew by 4.3%. In the commercial vehicle industry, the LCV segment continues to be in the negative but the MHCV goods segment continued to grow on back of improvement in industrial activity, movement in infrastructure projects and some replacement demand.
The monsoon which had begun on a positive note with June rains being higher than normal, weakened as the season progressed and ended with a rainfall deficit of 14%, making it two years of deficient monsoon in a row. This has adversely impacted the agri incomes and rural sentiments leading to a fourth straight quarter of de-growth for the Tractor industry. Late rains in September has helped in improving soil moisture content and is expected to aid in Rabi sowing. A good Rabi crop will play an important role in boosting agri income and improving the rural demand.
In September 2015, the company launched the TUV300 that inherits Mahindra’s legendary tough and rugged DNA while its authentic “true-blue” SUV stance. Along with a host of technology features, the TUV300 is also available with first-in-class autoSHIFT (Automated Manual Transmission) Technology. TUV300 has received very good customer response. The small commercial vehicle Jeeto launched in June 2015 has been accepted well in the market and has helped the company gain market share in its segment.
The Combined Entity sold 45,228 utility vehicles and continued its leadership position with a market share of 32.7%. The Combined Entity also exported 10230 Vehicles in the current quarter a growth of 45% over the corresponding quarter of the previous year.
The domestic tractor industry with sales of 10,6415 tractors de-grew 24.8% compared to the corresponding quarter in the previous year. The Combined Entity sold 42,268 tractors in the domestic market in the current quarter and continued to maintain its leadership position with a market share of 39.5%.The Combined Entity exported 3,170 tractors in the current quarter.
The Group as on 30th September 2015 comprised of 162 Subsidiaries, 10 Joint Ventures and 14 Associates. A full summation of Gross Revenues and other income of all the group companies taken together for the half year ended 30th September 2015 is Rs 54,176 crore (USD 8.60 billion).