Hero MotoCorp rose 0.86% to settle at Rs 2,087.70 on BSE after net profit rose 9.27% to Rs 481.41 crore on 10.50% increase in total income to Rs 5841.67 crore in Q2 September 2013 over Q2 September 2012.
The result was announced during trading hours today, 23 October 2013.
Meanwhile, the BSE Sensex fell 97.09 points, or 0.47%, to 20,767.88.
On BSE, 62,000 shares were traded in the counter compared with average volume of 52,899 shares in the past one quarter.
The stock hit a high of Rs 2,104.05 and a low of Rs 2,036.50 so far during the day. The stock hit a 52-week high of Rs 2,127.70 on 11 September 2013. The stock hit a 52-week low of Rs 1,434.05 on 15 April 2013.
The stock had outperformed the market over the past one month till 22 October 2013, rising 4.43% compared with the Sensex's 2.97% rise. The scrip had also outperformed the market in past one quarter, rising 15.74% as against Sensex's 3.50% rise.
The large-cap two-wheeler major has an equity capital of Rs 39.94 crore. Face value per share is Rs 2.
Hero MotoCorp's EBIDTA margin (earnings before interest, depreciation & amortaization) stood at 14.5% in Q2 September 2013.
The company said it sold 14.16 lakh two-wheelers in Q2 September 2013.
Commenting the second quarter results, Mr. Pawan Munjal, MD and CEO, Hero MotoCorp said: "With our performance in Q2 September 2013, we have clearly demonstrated that we can have good margins even as we strengthen our market leadership. When we commenced our solo journey a little over two years ago, protecting our market share was the top-most priority. Having achieved that, our strategy now clearly is to build on that leadership and make our business more profitable through several innovations, including a cost rationalization initiative. The results are already showing. Going forward, as we move to consolidate our leadership through technology, innovation and youth-focused products, we will certainly strive to keep improving our profitability as well."
"These numbers bode well for the festive season. The sentiments are positive and there is a momentum for us in the market, and we are definitely looking at demonstrating our leadership by record dispatch and retail sales during the festive period."
"The country, however, is passing through a very challenging time, which is also reflected in the sluggishness in the industry. The Rupee depreciation, which has adversely impacted several sectors, has also pulled up the costs of essential commodities such as steel, nickel, copper and rubber. Going forward, these higher input prices, combined with increasing labour costs, are likely to put a lot of pressure on margins in the industry. We will, therefore, be innovative in tackling these cost pressures to protect our margins."
Hero MotoCorp is the world's largest two-wheeler manufacturer in terms of production capacity.
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