Eicher Motors Net Profit Grows 66% during First Quarter
Published On Jul 29, 2016
One of the India’s most prominent commercial vehicle makers, Eicher Motors, has posted a growth of 66 percent in its profit after summing up the first quarter sales results of FY17. The company which operates under the name Volvo Eicher Commercial Vehicles (VECV is a JV with Volvo Trucks) has been on a high for quite some time now as the market for trucks is growing. It has also launched the new Eicher Pro 1000 series trucks with some technology changes that improves the fuel economy and reduce maintenance cost.
The net profit of Q1 during FY17 stood at INR 330 crore from what was INR 199 crore in last financial year’s Q1. The company’s income has also grown to INR 1,556 crore with 42 percent hike from last year’s INR 1,096 crore. The EBTIDA too got a hike of 30.2 percent. These numbers, however, include the sales of its iconic Royal Enfield two-wheeler brand as well. Commenting on the sales, Mr. Siddhartha Lal, MD and CEO, Eicher Motors, said, “We continue to expand our footprint in India with 566 dealerships now open across the country. Our immediate business outlook remains strong and Royal Enfield continues to grow consistently, competitively and profitably towards leading and expanding the mid-sized motorcycle segment globally.”
He further added, “Eicher Motors has started the new financial year on strong note and reported its best ever quarter results registering 42 percent growth and posting the highest ever quarterly income from operations at Rs 1556 crores for Q1 2016-17. In this quarter, EML also recorded its highest ever and best-in-class EBIDTA% at 30.2 percent.”