Tvs Suzuki Net Up 27%

Two-wheeler maker TVS-Suzuki has notched up an impressive 27 per cent increase in net profit to Rs 43.39 crore during the first six months of the fiscal year compared with Rs 34.25 crore in the corresponding period last year.

The sales turnover also increased by 27 per cent to Rs 617.04 crore for the first half compared with Rs 484.91 crore in the previous first half.

The company's net profits showed a sharper increase than the gross profit (13 per cent) as interest charges and tax provisions declined.

The gross profit for the period increased to Rs 77.45 crore from Rs 68.56 crore. Provisions for depreciation increased substantially to Rs 12.1 crore (from Rs 8.71 crore) due to additional capital expenditure incurred at the scooter plant at Mysore, but interest charges at Rs 8.92 crore (Rs 9.51 crore) and tax provisions at Rs 8.92 crore (Rs 9.51 crore) decreased during the period.

The company dominated the moped segment with a market share of 51 per cent, a company release said. TVS sold 1.65 lakh vehicles compared with 1.47 lakh in the same period last year.

In the motorcycle segment, the company's volumes increased by about 26.6 per cent to 1.23 lakh vehicles against 97,703 last year.

TVS said the sale of its scooterette brand, TVS Scooty, went up by 44.2 per cent to 45,541 vehicles from 31,571 vehicles in the previous year.