Bajaj Auto Q4 net slightly down at Rs766 crore
16 May 2013
Bajaj Auto has reported a marginal decline in its net profit for fiscal fourth quarter ended 31 March 2013, at Rs766 crore, against a net profit of Rs772 crore in Q4 of FY'12.
The Indian motorcycle maker said its sales revenue rose 2 per cent to Rs4,746 crore (Rs 4,651 crore in January-April 2013) boosted by an 8 per cent increase in export sale of motorcycles. In fact, overseas sales accounted for nearly 35 per cent of all bikes sold by the company.
Bajaj Auto, India's second-largest motorcycle maker, however, saw its domestic sales plunge amidst tough competition from Japanese manufacturers like Honda Motor Co and Yamaha Motor Co Ltd.
Honda's two-wheeler sales soared 30 per cent during the 2012-13 fiscal ended 31 March 2013, compared with Bajaj's 4 per cent fall and a 2 per cent fall at rival and former partner Hero MotoCorp, India's largest motorcycle maker.
The two Japanese companies muzzled their way into the market with their sporty models and global brand recognition as local manufacturers continued to lose market share.
Bajaj Auto sold a total of 8.6 lakh motorcycles during the quarter, down from the 9.0 lakh motorcycles sold during the previous year quarter. Its domestic sales also declined by 10 per cent to 5.56 lakh units from 6.17 lakh units sold in Q4 of 2012.
Total sales of two and three wheelers were down 4 per cent at 9.81 lakh units against 10.17 lakh units sold in the previous-year quarter.
For the fiscal 2013, Bajaj Auto posted a net profit of Rs3,044 crore, little changed from Rs3,004 crore in FY'12. Income from operations during the quarter rose 2.4 per cent to Rs19,997 crore from Rs19,529 crore the year before.
As of 31 March 2013, the company had cash and cash equivalents amounting to Rs5,706 crore.
Bajaj Auto sold 3.75 million motorcycles in the 2012-13 fiscal against 3.83 million units sold in the previous fiscal - a decline of 2 per cent.
Total sales, including three-wheelers, saw a decline of 3 per cent at 4.24 million units against 4.35 million units sold in FY12.
The board of directors of Bajaj Auto has recommended a dividend of Rs45 per share of Rs10 face value.