Mahindra & Mahindra Posts Rs 1,411 Crore As Consolidated Q2 PAT
During the said period, Mahindra & Mahindra on a consolidated basis, sold 1, 29,754 vehicles, 76,984 tractors, and exported 11,755 units
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Indian automobile manufacturer Mahindra & Mahindra has announced its second quarter (Q2) results for the fiscal year 2018 (July-September, 2017). The company’s consolidated profit after tax (PAT) stood at 1,411 crore.
During the said period, the company on a consolidated basis, sold 1, 29,754 vehicles, 76,984 tractors, and exported 11,755 units.
On a standalone basis, Mahindra & Mahindra’s PAT stood at Rs 1,332 crore and revenues and other income at Rs 12,744 crore.
In Q2 F2018, the Indian auto industry reported a double digit growth of 13.3 per cent driven by a normal monsoon, overall positive sentiment across urban and rural India and the festive season.
The passenger vehicle segment of the industry grew 13.4 per cent, the utility vehicle (UV) segment grew 27 per cent and the medium and heavy commercial vehicle goods segment grew 30.6 per cent.
The company sold the highest number of Scorpio vehicles since its launch in September 2017 and has strengthened the UV portfolio with the launch of T10 version of the popular SUV TUV300 in September 2017 and the new KUV100 NXT in October 2017.
The company sold 2,079 trucks during the quarter, a growth of 86 per cent over the previous year.
In Q2 F2018, the domestic tractor industry grew 37 per cent as compared to the Q2 previous year. In Q2 F2018, normal monsoons helped in boosting the rural sentiment and demand for tractors. Normal monsoons, and increase in MSPs of both Kharif & Rabi crops are likely to maintain the positive rural sentiment.
Growth momentum is likely to witness a cyclical bounce-back once the effects of some of the recent transient factors fade away and the economy adjusts to GST implementation. Inventory restocking, a normal monsoon and the lagged effect of past interest rate cuts will continue to provide a fillip to growth going forward.