Ashok Leyland Q4FY24 results: Net profit rises 17% to Rs 934 crore

The quarter saw the highest ever sales and margins for Ashok Leyland

Commercial vehicle major Ashok Leyland (ALL) has reported a 17 per cent rise in net profit during the fourth quarter of the financial year 2023-24 to Rs 933.69 crore compared to Rs 800 crore during the same quarter in 2022-23, owing to a rise in sales in the light and medium commercial vehicle segments.

The quarter saw the highest ever sales and margins for the company, it said on Friday. The company has also lined up an investment of around Rs 500-700 crore during the current financial year, along with six new launches in light commercial vehicles (LCV). 

The company’s consolidated revenue for the period under review stood at Rs 13,577.58 crore as compared to Rs 13,202.55 crore in the year-ago period.

During the financial year 2023-24, the company’s net profit stood at Rs 2,696.34 crore, as compared to Rs 1,358.82 crore during the previous financial year. It was an impressive 97 per cent jump.

On the other hand, its consolidated revenue from operations during the period was seen at Rs 45,790.64 crore versus Rs 41,672.6 crore in FY23.

The Indian flagship of the Hinduja Group also reported a record Ebitda of 14.1 per cent for Q4FY24 (Rs 1592 crore) compared to 11 per cent (Rs 1276 crore) for the same period last year.

The results were backed by an all-round performance with contributions from all business verticals.

In the M&HCV Bus segment, Ashok Leyland emerged as market leader with a market share gain of 5.8 per cent. Overall commercial vehicle volumes at 194,553 units were very close to the previous high of 197,366.

LCV volumes in the 2-3.5 tonne category were maintained despite the industry witnessing a reduction in volumes. Ashok Leyland now is the number two brand in this segment in the country. Export volumes for the year grew 5 per cent despite challenging conditions in target markets. The power solutions and defence businesses also posted impressive growth.

Dheeraj Hinduja, Chairman, Ashok Leyland said, “We continue to be optimistic about our industry prospects in the short to medium terms backed by anticipated robust growth in the Indian economy. We are confident that we will continue to maintain sustainable and profitable growth year after year through our unwavering pursuit on delivering differentiated products and providing best-in-class customer satisfaction.”

During the year, the company opened 246 new outlets across the country.