Bajaj Auto Q1FY25 results: Profit rises 19% YoY to Rs 1,988 cr; stock up 2%

Bajaj Auto Q1 results: The share price surged after Bajaj Auto reported a solid performance in the first quarter ending June 30, 2024 (Q1FY25)

Bajaj Auto Q1FY25 results: Bajaj Auto shares soared up to 2.42 per cent, to Rs 9,909.95 per share on the BSE in Tuesday's intraday deals, after the two-wheeler giant reported a solid performance in the first quarter ending June 30, 2024 (Q1FY25).

Bajaj Auto's consolidated profit in Q1FY25 increased 18.68 per cent year-on-year (Y-o-Y) to Rs 1,941 crore compared to Rs 1,644 crore in the corresponding quarter of the previous year. On a standalone basis, Bajaj Auto's net profit was Rs 1,988.34 crore, up 19.4 per cent Y-o-Y from Rs 1,664.77 crore.
 

Operationally, the company's consolidated revenue from operations grew by 15.72 per cent at Rs 11,932 crore in Q1FY25 versus Rs 10,311 crore in the same quarter last year. The standalone revenue from operations was Rs 11,928 crore, up 15.7 per cent Y-o-Y.

The company's net profit was largely in line with brokerage estimates compiled by Business Standard that predicted a growth of 15-23 per cent Y-o-Y. Simillary, revenues also fell in with expectations of 14-15 per cent Y-o-Y.

"Bajaj Auto reported 16 per cent Y-o-Y increase in revenue from operation in Q1FY25 on the back of robust vehicle sales and record spares revenue. This was underpinned by volume expansion across domestic and export market, and further bolstered by favourable mix," it said in a statement.

Standalone earnings before interest, tax, depreciation, and amortisation (Ebitda)  grew by 24 per cent YoY to Rs 2,415 crore during the June quarter as against Rs 1,954 crore in Q1FY24. Ebitda margin expanded by 130 basis points Y-o-Y to 20.02 per cent versus 19 per cent last year, the company said in an exchange filing. 

The margin expansion, Bajaj Auto said, was driven by better utilisation and cost reduction, which more than offset the drag from the growing electric two-wheeler (e2W) business. 

"Margin was sustained at 20 per cent level -- a hallmark of the dynamic profit and loss management," it said.

Bajaj Auto Q1FY25 volumes

In the first quarter of FY25, the company’s total volumes grew by 7 per cent Y-o-Y to 11,02,056 units against 10,27,407 units sold in Q1FY24. 

Meanwhile, the automaker’s exports grew by 7 per cent and domestic sales rose by 8 per cent on a Y-o-Y basis to 4,11,435 units and 6,90,621 units, respectively. 

The auto company has a total market capitalisation of Rs 2.74 trillion, according to BSE. The company’s shares are trading at a price to earnings multiple of 36.12 times with an earning per share of Rs 267.88.

At 02:06 PM, shares of the automaker were trading 1.50 per cent higher at Rs 9820.85 per share. In comparison, the BSE Sensex was trading 0.08 per cent higher at 80,725 levels.