Gurgaon-based Hero MotoCorp posted a net profit of Rs 883 crore and gross sales of Rs 8,011 crore in the June quarter.
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The company’s total income increased by 7.84 per cent to Rs 8131.04 crore for the quarter under review from Rs 7539.86 crore for the corresponding quarter of the previous year. The Company is engaged in the manufacturing and selling of motorized two-wheelers, spare parts and related services.
During the quarter, the company registered a Gross turnover (Gross Sales & other Operating Income) of Rs 8010.66 crore.
The company’s EBIDTA (earnings before interest, taxes, depreciation and amortisation) margin during Q1 improved to its highest ever levels to 16.63 per cent from 15.09 per cent in the like period of 2015-16. Accordingly figures for the previous period and year have been revised to reflect IND-AS.
This would be the highest ever quarterly sales of Hero Motocorp. The company sold 17,45,389 units of two-wheelers during the quarter, its highest ever sales in a quarter, as against 16,45,867 units in the same period of previous fiscal. In the first quarter of this fiscal (FY’17), Glamour grew by 32 percent and Super Splendor grew by 29 percent over the corresponding quarter in the previous fiscal.
It had sold 4,87,580 units in July 2015, Hero MotoCorp said in a statement.
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“Brokerage House KRChoksey – Institutional Research said”, Hero Motorcorp delivered strong set of results and exceeded our expectations. 1QFY17 adjusted EBITDA margin was one of the highest in the past several quarters. “We believe pick-up in monsoon, implementation of OROP, lower commodity prices and revival in rural demand have boosted Hero’s numbers”. “Furthermore, the Seventh Pay Commission payout will provide additional boost to overall two-wheeler demand”.
