Hero MotoCorp shares fall over 4%, despite strong Q1FY25 results; Details

Hero MotoCorp shares fall: Shares of Hero MotoCorp, the world’s largest manufacturer of motorcycles and scooters, tumbled 4.72 per cent to Rs 4,992.60 on the BSE during early trade on Wednesday, despite the company posting a massive surge in its consolidated net profit for the first quarter of FY25.

Hero MotoCorp's consolidated net profit in Q1 FY25 climbed 47.3 per cent Year-on-Year (Y-o-Y) to Rs 1,032 crore, primarily due to a sharp recovery in the 110-125 cc motorcycle segment after the launch of Xtreme, strong demand for its electric scooter Vida, and the promising condition of the overall economy.

The company’s consolidated total income jumped 15 per cent Y-o-Y to Rs 10,435.6 crore in the first quarter of FY25.

Niranjan Gupta, Chief Executive Officer (CEO) of Hero MotoCorp, said, “We continue to be on a profitable growth journey, crossing Rs 10,000-crore revenue for the first time ever, accompanied by the highest ever underlying profit after tax (in Q1). Overall, we are optimistic about the demand trajectory for the coming quarters. Our product launches and strategic initiatives are well‐aligned to capitalize on this positive market environment, ensuring continued growth and value creation for all our stakeholders.”

Headquartered in Delhi, Hero MotoCorp is a multinational motorcycle and scooter manufacturer. The company dominates the Indian market with a significant share of about 46 per cent. As of August 14, 2024, Hero MotoCorp commands a market capitalization of Rs 1,00,187.48 crore on the BSE and is a constituent of the BSE 100 index.

BSE analytics reflect that the company's shares have offered a return of 21.63 per cent Year-to-date.

Hero MotoCorp shares have fallen 9.75 per cent in the last month, while advancing 4 per cent in the last six months and 66.44 per cent in the last one year.

The company's shares have a 52-week range of Rs 5,894.30 - 2,889.40 on the BSE.

At around 10:30 am, shares of Hero MotoCorp were quoted at Rs 5,014.85, down 4.30 per cent from their previous close of Rs 5,240.45 on the BSE.