Maruti Suzuki jumps after strong Q2 earnings

Maruti Suzuki India jumped 4.14% to Rs 1575.60 at 9:21 IST on BSE after net profit jumped 194.7% to Rs 670.20 crore on 26.5% growth in net sales to Rs 10211.80 crore in Q2 September 2013 over Q2 September 2012.

The Q2 result was announced after trading hours on Monday, 28 October 2013.

Meanwhile, the S&P BSE Sensex was down 23.87 points or 0.12% at 20,546.41.

On BSE, 47,000 shares were traded in the counter as against average daily volume of 63,266 shares in the past one quarter.

The stock hit a high of Rs 1,599 and a low of Rs 1,565 so far during the day. The stock hit a record high of Rs 1,773.45 on 20 May 2013. The stock hit a 52-week low of Rs 1,217 on 28 August 2013.

The stock had outperformed the market over the past one month till 28 October 2013, surging 10.62% compared with the Sensex's 4.27% rise. The scrip had also outperformed the market in past one quarter, jumping 10.03% as against Sensex's 4.16% rise.

The large-cap company has equity capital of Rs 151.04 crore. Face value per share is Rs 5.

Maruti Suzuki India said that low base effect aided strong growth in bottomline in Q2 September 2013 -- the company's performance in Q2 September 2012 was adversely impacted by labour problems at its Manesar plant. Higher localization and cost reduction initiatives by the company also contributed significantly to bottomline growth in Q2 September 2013, Maruti said. The overall impact of foreign exchange was positive during the quarter, Maruti said.

Maruti said that the company's new diesel engine facility at Gurgaon and the third assembly facility at Manesar went on stream during Q2 September 2013. With this, the company's total capacity for vehicle assembly has risen to 1.5 million vehicles per annum.

Japanese parent Suzuki Motor Corporation holds 56.21% stake in Maruti Suzuki India (as per the shareholding pattern as on 30 September 2013).

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