TVS motors net profit soars by 28% in Q3FY23 due to the festive season

Two and three wheeler major TVS Motor Company clocked a net profit of nearly 304 crore in the third quarter of fiscal 2022-23, up 28% from the 237 crore clocked in the year-ago quarter. Sequentially however, Q3 PAT was down 18.4% compared to Q2 tally of nearly 373 crore.

The company’s Profit Before Tax (PBT) grew 21% at 475 crore as against 391 crore in last Q3. Operating revenue grew 15% at 6,545 crore as against 5,706 crore reported in the quarter ended December 2021.

Operating EBITDA grew 16% at 659 crore as against 568 crore in Q3 of 2021-22 while operating EBITDA margin stayed flat at 10.1%. The company declared an interim dividend of 5 per share (500%) absorbing a sum of 238 crore for the financial year 2022-23.

TVS’s electric vehicles registered sales of 0.29 lakh units in Q3 as against 0.02 lakh units in Q3FY22 and 0.16 lakh units Q2FY23. Its total two wheeler sales of 8.36 lakh units remained flat compared to the year-ago period. Two-wheeler exports were also flat at 2.07 lakh units as were total three-wheeler sales at 0.43 lakh units.

For the 9-months of this financial year, the company’s operating revenue was at 19,773 crore, up from 15,260 crore in the year-ago period. PBT at 1,457 crore was up 67% against 871 crore last fiscal while Profit After Tax at 1,081 crore was up nearly 75% as against 619 crore during nine months ended December 2021.