29-Apr-2024
2 mins read
Maruti Suzuki, India's car giant, made an impressive performance for Q4FY24. However, a slight dip in the company's share price on the BSE made a little concern in the mind of investors elsewhere the stock price is still in good levels. The company’s net profit increased by a significant 48% YoY to Rs 3,878 crore. This strong showing extends to the full financial year, with profit after tax jumping a remarkable 64% to Rs 13,209 crore.
Sales and Dividend Recommended
Maruti Suzuki made a healthy 20% YoY increase in total revenue from operations, reaching Rs 1,40,933 crore. Q4FY24 sales volume mirrored this growth, climbing 13% to 5,84,031 units compared to the previous year. Notably, the company achieved its highest-ever annual sales volume, surpassing the prestigious 2-million-unit mark. The Board of Maruti Suzuki recommended dividend of Rs 125 per share. Additionally, the company recently expanded its manufacturing capacity at the Manesar plant.
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Confident Outlook by the Board
Maruti Suzuki Chairman RC Bhargava expressed optimism regarding the future business environment, anticipating significant economic growth under the new government. The company is bullish on exports as well, targeting 3 lakh units in FY25 and aiming for an ambitious 8 lakh units by 2030. Despite the positive outlook, Maruti Suzuki's share price witnessed a slight decline of 1.26% on the exchange as on April 26. This could be attributed to factors like the company's recent price hikes.
Conclusion
Overall, Maruti Suzuki's Q4 performance underscores its dominance in the Indian car market. The company's great financial health, expanding capacity, and ambitious export goals position it for a bright future. However, the slight dip in share price indicates that investors may be waiting to see how factors like price hikes pan out in the upcoming months.
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