Maruti Suzuki India's Q2 profit jumps 80% on SUV demand
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Maruti Suzuki India, the country's top carmaker by sales, on Friday reported a higher quarterly profit that smashed estimates, as strong demand for its sport utility vehicles (SUVs) and cooling input costs boosted margins.
The company's profit after tax for the three months to Sept. 30 rose to 37.17 billion rupees ($446.64 million) from 20.62 billion rupees a year earlier.
Analysts, on average, expected the maker of the 'Brezza' and 'Baleno' models to report a profit of 30.08 billion rupees, according to LSEG data.
Maruti is the first of India's listed carmakers to report results and benefit from a better share of sales from the revenue and margin-boosting SUVs, analysts have said.
Quarterly cost of materials consumed, or raw material costs, fell 7.4%.
Utility vehicles sales - which includes SUVs and the seven-seater 'Ertiga'- comprised 32% of quarterly volumes, up from 16% a year earlier, sending revenue up 25% to 355.35 billion rupees.
The company's shares rose 2.7% to an intraday high of 10,703.25 rupees after the results.
