Jobaaj Stories
India’s largest two-wheeler manufacturer Hero Motocorp has beaten all of Dalal Street’s estimates as the company reported a strong 31% YoY growth in profits.
For 3 months ending in March 2023, the company’s revenues stood at Rs 8,434 crores, up 13% YoY and around 4% on a sequential basis. It sold around 12.7 lakh units during the fourth quarter as sales volume improved by 7% YoY. Profit during the quarter grew 31% to Rs 811 crores against Rs 621 crores reported in the same period last year.
For the 12 months ending in March 2023, the company’s revenues grew 16% YoY to Rs 34,158 crores as it sold 53.29 lakh units as sales volume grew almost 8% during the year. Other income grew close to 3% as the Total Income earned by the company grew by 15% to Rs 34,727.39 crores.
Total expenses saw a similar growth of 15% as it stood at Rs 30,867 crores. According to CEO Niranjan Gupta, the company was able to achieve margin expansion and robust growth during the year due to a strategic combination of savings, pricing, and product mix.
Profit for FY23 was Rs 2,800 crores, up 20.2% when compared to Rs 2,329 crores reported in FY22. EPS stood at Rs 140.62 per share, growing 22% YoY.
The company’s Board has recommended a 1750% dividend i.e. Rs 35 per share, bringing the aggregate dividend payout to around 5000% or Rs 100 per share during the FY23. At the time of reporting, Hero Motocorp’s stock was trading at around Rs 2,525 per share.
—Aman Agarwal.
