Bajaj is now higher in share market by a good 4% at Rs 1,699 per share. Its an all-time high, after remarkably improving operating profits by 100 basis points at a substantial 20.1% in Q2FY12. This has been possible due to higher realisation from exports, operating leverage and the rationalization of expenditures on sales promotion. The manufacturer has reported a 6% year-on-year growth in net profit at Rs 726 crore for Q2FY12, against the Rs 682 crore in the same quarter of previous fiscal. Net sales growth was 21% to Rs 5,342 crore against last year’s figure of Rs 4,426 crore.
“This is a purely notional loss and would get reversed on maturity of the underlying contracts. The company has protected its future export realisations by entering into range forward contracts,” the company told in a filing to the stock exchanges. Bajaj sure seems to be riding high on its growth. Well done. Kudos!