M&M + MVML PAT Rs. 978 crore
Mumbai, 6th November 2015: The Board of Directors of Mahindra and Mahindra Limited today announced the unaudited financial results for the quarter ended 30th September 2015 of the company and the consolidated Mahindra Group.
Mahindra Vehicle Manufacturers Limited (MVML), was set up as a 100% subsidiary of the company with a view to sourcing contemporary products for expanding the market offerings of the company. Hence it is a critical part of its business and only the combined results of M&M and MVML (Combined Entity) can provide a comprehensive view of the company’s performance.
Q2 F2016 – M&M + MVML Results
The Gross Revenues and Other Income of the Combined Entity for the quarter ended 30th September 2015 is Rs. 10206 crore as against Rs. 10268 crore in the corresponding quarter of the previous year. The Profit before tax for the current quarter is Rs. 1310 crore as against Rs.1240 crore in the corresponding quarter of the previous year – a growth of 5.7%. The Net Profit after tax for the current quarter is Rs. 978 crore as against Rs. 974 crore in the corresponding quarter of the previous year.
In the current quarter the passenger vehicle market grew 6.3%, with good growth in the car segment, while the UV segment continued to be under pressure and de-grew by 4.3%. In the commercial vehicle industry, the LCV segment continues to be in the negative but the MHCV goods segment continued to grow on back of improvement in industrial activity, movement in infrastructure projects and some replacement demand. The monsoon which had begun on a positive note with June rains being higher than normal, weakened as the season progressed and ended with a rainfall deficit of 14%, making it two years of deficient monsoon in a row. This has adversely impacted the agri incomes and rural sentiments leading to a fourth straight quarter of de-growth for the Tractor industry. Late rains in September has helped in improving soil moisture content and is expected to aid in Rabi sowing. A good Rabi crop will play an important role in boosting agri income and improving the rural demand.
In September 2015, the company launched the TUV300 whose design is inspired by a battle tank which gives it a tough, bold and stylish character. It inherits Mahindra’s legendary tough and rugged DNA while its authentic “true-blue” SUV stance establishes its extraordinary road presence. Along with a host of technology features, the TUV300 is also available with first-in-class autoSHIFT (Automated Manual Transmission) Technology. TUV300 has received very good customer response. The small commercial vehicle Jeeto launched in June 2015 has been accepted well in the market and has helped the company gain market share in its segment.
The Combined Entity sold 45228 utility vehicles and continued its leadership position with a market share of 32.7%. The Combined Entity also exported 10230 Vehicles in the current quarter a growth of 45% over the corresponding quarter of the previous year.
The domestic tractor industry with sales of 106415 tractors de-grew 24.8% compared to the corresponding quarter in the previous year. The Combined Entity sold 42268 tractors in the domestic market in the current quarter and continued to maintain its leadership position with a market share of 39.5%. The Combined Entity exported 3170 tractors in the current quarter.
Q2 F2016 – M&M Standalone results
The Gross Revenues and Other Income of Mahindra & Mahindra Limited for the quarter ended 30th September 2015 is Rs. 10311 crore as against Rs. 10386 crore in the corresponding quarter of the previous year. The Net Profit after tax for the quarter is Rs. 924 crore as against Rs. 947 crore in the corresponding quarter of the previous year.
H1 F2016 – M&M + MVML Results
The Gross Revenues and Other income of the Combined Entity during the half year ended 30th September 2015 is Rs. 20679 crore as against Rs. 21002 crore in the corresponding period of the previous year. The Profit after tax for the current half year is Rs. 1809 crore as against Rs. 1870 crore in the corresponding period of the previous year.
H1 F2016 – M&M Standalone Results
The Gross Revenues and Other Income of Mahindra & Mahindra Ltd. for the half year ended 30th September 2015 is Rs. 20941 crore as against Rs. 21250 crore during the corresponding period of the previous year. The Net Profit after tax is Rs. 1776 crore for the current half year as against Rs. 1828 crore in the corresponding period of the previous year.
Q2 F2016 – Group Consolidated Results
The consolidated Gross Revenues and Other Income of the Group for the Quarter ended 30th September 2015 is Rs. 18910 crore (USD 3.0 billion) as against Rs.18335 crore (USD 2.9 billion) in the corresponding quarter of the previous year. The consolidated profit after tax after minority interest for the current quarter is Rs. 614 crore (USD 97.5 million) as compared to Rs. 794 crore (USD 126.1 million) in the corresponding quarter of the previous year.
H1 F2016 – Group Consolidated Results
The Gross Revenues and Other Income for the half year ended 30th September 2015 is Rs. 38727 crore (USD 6.2 billion) as against Rs. 38165 crore (USD 6.1 billion) in the corresponding period of the previous year. The consolidated profit after tax after minority interest for the current half year is Rs. 1392 crore (USD 221.0 million) as compared to Rs. 1756 crore (USD 278.8 million) in the corresponding period of the previous year.
The Group as on 30th September 2015 comprised of 162 Subsidiaries, 10 Joint Ventures and 14 Associates. A full summation of Gross Revenues and other income of all the group companies taken together for the half year ended 30th September 2015 is Rs. 54176 crore (USD 8.60 billion).
The Indian economy continues to recover, albeit at a slow pace as contracting exports and weak rural incomes weigh heavily on growth. Recent signals from a broad range of indicators, however, suggest that the economy may be about to turn a corner. A steady pick up in industrial production in the last three months driven by an uptick in manufacturing, double digit growth in capital goods volumes, a 22% yoy increase in new investments announced in the second quarter of this fiscal, a pickup in cement dispatches, robust indirect tax collections and indications that the mining sector is rebooting, suggest that the government's attempts to 3 revive the economy, through reforms and higher public capital spending, are working. With investment sentiment picking up and tail winds from falling interest rates likely to bolster urban consumption demand further, we expect growth to step up pace in the second half of the current fiscal. In addition, the healthy winter rains forecast by the IMD presage a pickup in agricultural production and rural demand towards the tail end of the year. Our outlook on the economy, thus, is positive at this point and we look to the future with optimism.
Note: Translation of rupee to dollar is a convenience translation at the average exchange rate for the twelve month period ended 30th September 2015.
The Mahindra Group focuses on enabling people to rise through solutions that power mobility, drive rural prosperity, enhance urban lifestyles and increase business efficiency.
A USD 16.9 billion multinational group based in Mumbai, India, Mahindra provides employment opportunities to over 200,000 people in over 100 countries. Mahindra operates in the key industries that drive economic growth, enjoying a leadership position in tractors, utility vehicles, information technology, financial services and vacation ownership. In addition, Mahindra enjoys a strong presence in the agribusiness, aerospace, components, consulting services, defence, energy, industrial equipment, logistics, real estate, retail, steel, commercial vehicles and two wheeler industries.
In 2015, Mahindra & Mahindra was recognized as the Best Company for CSR in India in a study by the Economic Times. In 2014, Mahindra featured on the Forbes Global 2000, a comprehensive listing of the world’s largest, most powerful public companies, as measured by revenue, profit, assets and market value. The Mahindra Group also received the Financial Times ‘Boldness in Business’ Award in the ‘Emerging Markets’ category in 2013.
Visit us at www.mahindra.com
Our Social Media Channels:
Twitter - https://twitter.com/MahindraRise
Facebook - https://www.facebook.com/MahindraRise
For further enquiries please contact:
Senior General Manager (Communications)
Automotive & Farm Equipment Sectors
Direct Line – + 91 22 28468510
Email Address – firstname.lastname@example.org
Mobile: +91 9004012237
Other Key Releases
Our Formula E Racing Team revealed the new livery for the mighty M3Electro, which was designed by the winner of the team's unique online competition #DrivenByDesign.
Mahindra Racing, the only Indian constructor in World Championship racing, is making a habit of creating historic firsts. Our MGP3O motorcycle finished 1st AND 2nd in the rain-soaked Czech Republic Grand Prix!
Mahindra Defence Systems is partnering with Boeing to train the Indian Air Force on the mighty C-17 Globemaster.