Mumbai, Feb 7 Mahindra & Mahindra (M&M) on Friday reported a consolidated net profit of Rs 3,180.58 crore in Q3 -- a 19.64 per cent increase from Rs 2,658.40 crore in the same quarter last year (Q3 FY24).
The company’s strong earnings were primarily driven by strong demand for its sport utility vehicles (SUVs) and tractors.
The company's revenue from operations also grew 17.74 per cent year-on-year (YoY) to Rs 41,464.98 crore, compared to Rs 35,218.32 crore in the year-ago period.
In its exchange filing, M&M stated that its auto and farm segments continued to perform well, contributing to both revenue and profit growth.
“Our businesses continue to demonstrate strength in execution. Auto and farm delivered solid performance on market share and margins, on the back of focused execution,” said Anish Shah, Managing Director and CEO, M&M Ltd.
The auto segment was a major growth driver, with consolidated revenue increasing 21 per cent to Rs 23,391 crore. Profit after tax (PAT) for the segment rose 20 per cent to Rs 1,438 crore.
The company reported a 16 per cent increase in vehicle sales, delivering 2.45 lakh units during the quarter.
M&M’s farm equipment segment also performed well with its highest-ever Q3 market share of 44.2 per cent.
Tractor sales grew 20 per cent to 1.21 lakh units. The segment’s revenue increased by 11 per cent to Rs 9,537 crore, while PAT also saw an 11 per cent rise to Rs 996 crore.
The company’s financial services arm also witnessed significant growth, with assets under management (AUM) rising by 19 per cent.
Meanwhile, Tech Mahindra, the group’s IT services business, recorded strong deal wins and an improvement of 480 basis points in EBIT.
In the financial services sector, Mahindra & Mahindra Financial Services Ltd (MMFSL) recorded a 19 per cent increase in AUM, while standalone PAT surged by 63 per cent.
“MMFSL continues to balance asset quality and growth priorities, with GS under 4 per cent on the back of strong AUM growth,” Shah said.
He further added that the growth gems are demonstrating steady progress towards the long-term objectives.
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