BENGALURU: India’s largest car maker, Maruti Suzuki Limited (MSL) profit was up 17.8 per cent at Rs 802 crore for the third quarter of FY 2015 (Q3 2014-15) when compared to Rs 681.15 crore reported in the year ago period.
“Higher volumes, material cost reduction initiatives and favourable foreign exchange contributed to the bottomline during the quarter,” MSL said in a statement on Tuesday.
The company said that favourable foreign exchange and material cost reduction measures had improved the bottomline of its results.
Net sales was up 15.5 per cent at Rs 12,269.14 crore when compared to Rs 10,619.68 crore.
“Higher volumes, material cost reduction initiatives and favourable foreign exchange contributed to the bottomline during the quarter,” the company said.
The company sold a total of 323,911 vehicles in third quarter, a growth of 12.4 per cent including exports of 28,709 units. “The (current) situation indicates that we have to support sales with incentives; the quantum of average discounts during the quarter across models was around Rs 21,000 per vehicle,” Ajay Seth, Chief Financial Officer of the company said.
The withdrawal of excise duty concessions and resultant price increase has impacted sales, particularly in the entry level segment, Seth said.
Shares of Maruti Suzuki India closed at Rs 3,685.20 per share, up 2.12 per cent from their previous close on the Bombay Stock Exchange (BSE) on Tuesday.