TVS Motor Company reported 47% rise in net profit to Rs 407 crore on a 28% increase in revenue to Rs 7,219 crore in Q2 FY23 over Q2 FY22.
"This was delivered despite challenges in international markets due to the economic slowdown and higher inflation in some of the key markets, the company said in a statement.
Operating EBITDA grew by 31% at Rs 737 crore compared to Rs 563 crore during Q2 of last year. EBITDA margin was at 10.2% in Q2 FY23 as against 10% in Q2 FY22.
Profit before tax in Q2 FY23 stood at Rs 549 crore, up by 46% from Rs 377 crore in Q2 FY22.
TVS Motors said that higher investments were made in all key brands with better availability of vehicles and launch of TVS Ronin and new TVS iQube Electric. As part of the EV strategy, specialised resources were added in the areas of software, electronics and digital & analytics to further augment the team.
Though the premium motorcycle sales improved over Q1, the full demand could not be met due to the continued limited availability of semiconductors during Q2. There was a month-on-month improvement of premium motorcycle sales in Q2 and the supply constraints are expected to further ease out in Q3, it added.
The company's overall two-wheeler and three-wheeler sales including exports grew by 12% registering 10.27 lakh units in the quarter ended September 2022 as against 9.17 lakh units registered in the quarter ended September 2021.
While motorcycle sales grew by 9% registering 4.77 lakh units, scooter sales rose by 44% to 3.83 lakh units in Q2 FY23 over Q2 FY22. The company recorded two-wheeler exports of 2.52 lakh units in the quarter ended September 2022, down 7% YoY.
Three-wheeler sales for the quarter under review grew by 7% registering 0.51 lakh units as against 0.47 lakh units during second quarter of 2021-22.
TVS Motor Company is a reputed two and three-wheeler manufacturer globally. The company has four manufacturing facilities in Hosur, Mysuru and Nalagarh in India and Karawang in Indonesia.
The scrip fell 1.84% to end at Rs 1113.70 on the BSE today.
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