Maruti Q3 FY2022 Research Tear Sheet

Maruti Suzuki India Limited is an Indian Automobile Industry. It was incorporated in 1981 by the government of India. It has its headquarter in New Delhi, India. Area of  operation is mostly India. The products include Automobiles, Commercial vehicles and automotive parts. In 1982 a joint venture agreement (JVA) was signed between Maruti Udyog Ltd., and Suzuki of Japan to set up Maruti India. Maruti Suzuki has two manufacturing units located in Haryana and  in Gujarat. These manufacturing units are wholly-owned by parent company Suzuki which supplies its entire production to Maruti Suzuki. 

Key Financial Highlights

INR Million	Q3 FY 22	Q3 FY 21
Sales Volume	4,30,668	4,95,897
Net Sales	2,21,876	2,22,367
Op. EBIT	9,190	14.848
PBT	12,218	24,498
PAT	10,113	19,414

INR Million	9M FY’22	9M FY’21
Sales Volume	11,63,823	9,65,626
Net Sales	5,82,841	4,36,035
Op. EBIT	11,084	10,637
PBT	23,843	38,519
PAT	19,274	30,636

Net Sales of INR 221,876 million in Q3 2022 compared to that of INR 222,367 million in Q3 2021. Exports at 64,995 units in Q3 2022 compared to 28,528 units in Q3 FY21. Net Profit in this Quarter was INR 10,113 million in Q3 2022 compared to INR 19,414 million in Q3 FY21. The sales stood at 365,673 units in the Quarter, against 467,369 units in Q3 FY21. The negative factors affected the business in the quarter are adverse commodity prices, Lower sales volume due to electronic component shortages and Lower non-operating income. The  positive factors impacting the quarter include cost reduction efforts and reduction in lower sales promotion expenses.

Market Share

For the quarterthe market share for wholesale was 48.3% and for retail it was 49.9%, very close to the 50% mark. For the month of December, market share stood at 50%, but on cumulative basis the market share is 44%.

Outlook

Expects CAPEX a little upwards of INR5,500 crores.

Expects to strengthen portfolio in different segments.

Conference Call Highlights

Management guidance:

The Company logged a Net Sales of INR 582,841 million for 9M FY 2021-22.

Net Profit of INR 19,274 million in 9M FY 2021-22 as against INR 30,636 million in the same period previous year.

Profit After Tax declined to Rs 19,274 compared to RS 30,636 in Q3 2022.

Business Updates:

Maruti Suzuki has decided to launch new product in the SUV category.

Maruti Suzuki has decided to finalise plans for new Haryana unit by 2021-end.

Maruti to receive 900 acres in Sonepat for units.

Maruti has increased output with an increase in levels of chip supplies.

Maruti Suzuki has decided to convert its website into vehicle financing platform.

Others

Mauti exported 205,450 vehicles in Calendar year 2021 and this is the  highest ever exports in any calendar year by the company.

Launch of all new Celerio, India’s most fuel-efficient petrol car.