Hero MotoCorp logs Q1 net profit of Rs 365.4cr
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Hero MotoCorp on Thursday reported a standalone net profit of Rs 365.44 crore for the April-June quarter.
The net profit witnessed nearly 6-fold growth compared to Rs 61.31 crore reported during the same period of FY21.
Its revenue from operations during the period under review increased 84.65 per cent to Rs 5,487.07 crore, compared to Rs 2,971.54 crore earned in Q1 FY21.
In a statement, the company said that during the quarter the two-wheeler major recorded sales of 10.25 lakh units of motorcycles and scooters despite Covid-19 related disruptions.
Niranjan Gupta, Chief Financial Officer (CFO), Hero MotoCorp, said: "The first quarter of this fiscal has been adversely impacted by Covid-19. Despite the challenges posed by the pandemic, Hero MotoCorp achieved significant growth in both earnings and profitability compared to the corresponding quarter of the previous fiscal. The company improved its market share in the quarter by more than 200 bps over the full year of FY 21."
"The commodity costs continued to rise, thereby impacting the industry margins. We have taken judicious and measured pricing decisions, reducing the impact on the customers by offsetting part of the increase through the accelerated Leap-2 saving programme," Gupta said.
He added that the company remains optimistic about demand over the coming months with the start of the festive season and also a healthy monsoon and encouraging farm activity.
