Bajaj Auto Q1 coming up today; Will it trump Street view?

NEW DELHI: Bajaj Auto is likely to report a 40-45 per cent jump in year-on-year sales and profit for the June quarter today.

The automaker is seen reporting robust operating profit margin for the said quarter. Realisation though may drop marginally on a sequential basis due to poor product mix.

Brokerage ICICI Securities expects the two-wheeler maker to report 46.6 per cent annual jump in sales at Rs 7,979 crore on the back of 38 per cent volume growth at 1.23 million units.


"Blended realisations are expected to be down 1 per cent YoY and flat QoQ due to a poor product mix. EBITDA margins are likely to contract 20 bps sequentially to 19.2 per cent due to higher contribution from the economy segment. PAT is expected to increase 43 per cent YoY to Rs 1,370 crore," the brokerage said.

Emkay Global expects the Rajiv Bajaj-led company to clock a revenue growth of 40 per cent YoY and 13 per cent QoQ at Rs 7,620 crore.

"Realisation is expected to decrease sequentially due to adverse product mix (lower share of higher displacement motorcycles and three-wheelers). Ebitda margin would jump 220 bps YoY (flat QoQ) to 19.4 per cent despite commodity inflation and adverse mix owing to better scale, price hikes and rupee depreciation," the brokerage said.

PAT is expected to climb 45 per cent YoY and 29 per cent QoQ at Rs 1,390 crore, it said.

Export demand outlook, product actions in pipeline and any development in the EV space will be keenly watched, said HDFC Securities.