The largest passenger carmaker in India, Maruti Suzuki, today posted a 10% fall in net profit in India to Rs 1,166 crore per quarter ending in March. The company was affected by lower operating performance than anticipated and a strong decrease in other revenues. However, revenues were high.
According to Maruti Suzuki, the board of directors made the decision based on the company's financial results for the year and the unpredictable market climate.
The income from Q4 FY21 operations amounted to Rs 24,023.7 crore, up 32% from Rs 18,198.7 crore, backed by solid double-digit revenue growth. For the period, the analysts expected Maruti to record a 38-per-cent net profit increase to Rs 1,785 crore in revenues of Rs 23,704 crore year-on-year.
In the fourth quarter of 2021, the company sold a total of 492,235 cars, up 27.8 percent from the previous year's fourth quarter. In the domestic market, sales increased by 26.7 percent to 456,707 units. Exports increased by 44.4 percent to 35,528 units.
Despite a sharp rise in commodity prices, earnings before interest, tax, depreciation, and amortisation (EBITDA) increased 28.8% year on year to Rs 1,991.4 crore. This was due to higher sales volume and cost-cutting efforts.
The gross profit margin fell 360 basis points year over year and 140 basis points quarter over quarter to 26.1 percent. Due to a mark-to-market loss on spent surplus, other income dropped sharply to Rs 89.8 crore in Q4FY20, compared to Rs 880.4 crore in Q4FY20.