Bajaj Auto Q1 Results: Net profit rises 42% YoY to Rs 1,665 crore; revenue jumps 29%

Bajaj Auto's standalone net profit rose 42% year-on-year (YoY) to Rs 1,665 crore for the first quarter ended June 2023. It was Rs 1,173 crore in the year-ago period.

Revenue from operations jumped 29% to Rs 10,310 crore in the June quarter, compared with Rs 8,005 crore in the same quarter of last year.

Both revenue and profit were slightly below the estimates. ET Now Poll saw a profit figure around Rs 1,686 crore and revenue of Rs 10,472 crore.


The revenue growth during the quarter was underpinned by double-digit volume growth, with the sustained buoyancy on the domestic front cushioning the weak, albeit improving export performance.

The company reported its highest quarterly EBITDA of Rs 1,954 crore, showing a growth of 51% YoY, while margins at 19% were up 280 basis points.

The margin improvement over the previous year was driven by dynamic price versus cost management, better foreign exchange realisation, and operating leverage.

However, on a sequential basis, EBITDA margins slipped 30 basis points, mainly due to a planned typical seasonal skew for commuter motorcycles.
The company said amid continued currency and macro challenges in overseas markets, export volumes improved sequentially by 12%.

While country retail volumes outstripped export billed volumes yet again, Bajaj Auto undertook interventions, particularly on currency availability, which enabled the uptick in shipments to Africa and Latin America.

Motorcycles delivered strong volume-led growth with share gain. Pulsar brand scaled a new peak in volumes and revenue.

Quarterly performance led by sharp execution in the seasonal marriage markets and consistent focus on the 125cc+ segment which enabled market-leading growth and competitive gain.

The company launched the electric three-wheeler across both cargo and passenger segments in select markets. In traditional ICE three-wheelers, the Bajaj 'RE' and 'Maxima' products continued to drive faster than industry growth and market share accretion to 80% for the first time.

Going forward, the auto major seeks to emphasise enhancing capabilities in the supply chain, investing behind R&D for product development, and growing retail presence that will allow for a sustainable business model and competitive play.

On Tuesday, the company's shares were trading 0.44% lower at Rs 4,861.25 on NSE.