Maruti net up 29 percent in Q2

India's leading car maker Maruti Suzuki India Ltd Thursday reported net profit of Rs.863 crore for the second quarter (July-September) of fiscal 2014-15, registering 29 percent year-on-year (YoY) growth.

"Growth in domestic sales and cost reduction contributed significantly to bottomline growth during the quarter," the Gurgaon-based company said in a statement.

Net sales for the quarter under review grew 18 percent YoY to Rs.11,996 crore.

The company sold 3,21,898 vehicles, including 34, 211 units for export, posting 17 percent YoY growth in the quarter.

"Higher volume contributed to profits while cost reduction helped to mitigate increase in raw material costs," the statement said.

In a related development, the board recommended increase in the shareholding of the foreign institutional investors (FIIs) by 16 percent to 40 percent from 24 percent since 2003.

"The board decided to recommend an increase in the FII limit to 40 percent of the public shareholding in the stock, subject to shareholder approval, the statement added.