Ashok Leyland reports y-o-y decline of 17% in Q4 net profit

24 May 2023 , 10:06 AM

Ashok Leyland announced its results for the quarter ended March 2023, and reported nearly a 17% year-on-year decline in net profit for the March quarter, totaling Rs 751.41 crore.

Ashok Leyland saw a significant year-on-year increase in total revenue from operations, reaching Rs 11,626 crore, representing a 33% year-on-year increase.

The decrease in net profit can be attributed primarily to the absence of a one-time gain that the company had recorded in the previous year's corresponding quarter.

In the fiscal year 2023, Ashok Leyland recorded impressive growth in net profit, more than doubled to reach Rs 1,380 crore. Additionally, the company witnessed a significant 67% y-o-y increase in revenue, amounting to Rs 35,977 crore.

Ashok Leyland's EBITDA (earnings before interest, taxes, depreciation, and amortization) increased to Rs 1,276 crore in the March quarter from Rs 776.1 crore the previous year. This improvement resulted in an increase in operating margins, which increased by 209 basis points year-on-year to 10.97%.

Ashok Leyland saw an increase in its truck market share, which rose to 32.7% in the most recent quarter, up from 30.6% the previous year. Similarly, the company's market share for buses increased to 27.1% from 26.4% the previous year. Furthermore, Ashok Leyland increased domestic light commercial vehicle volumes by 18% during the reported quarter, selling 18,840 units.

At around 9.57 AM, Ashok Leyland was trading at Rs 151.95, down by 0.16% against the previous close of Rs 152.20 on NSE.

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