M&M consolidated profit after tax rises 20% in Q1

CHENNAI: Automobile to telecom conglomerate Mahindra & Mahindra clocked a 20% increase in consolidated net profit for Q1FY25 at Rs 3,283 crore up from Rs 2,745 crore in the year ago period after factoring in the Rs 763 crore other income totted up last year.
“That amount includes a one-time gain of Rs 405 crore from investment in KG Mobility (the renamed Ssangyong) and another Rs 358 crore from the sale of stake in Mahindra CIE,” said group CFO Amarjyoti Barua.
The consolidated PAT includes Rs 1,330 crore from the auto division, up from Rs 987 crore last Q1; Rs 1,238 crore from farm up from Rs 1,191 crore last year and Rs 715 crore from services (Tech Mahindra & Mahindra & Mahindra Financial Services) up from Rs 567 crore in the year-ago period. Consolidated revenue was up 10% at Rs 37,218 crore from Rs 33,892 crore in Q1FY24.
On a standalone basis, Q1FY25 saw a 23% increase in PAT at Rs 2,613 crore, up from Rs 2,120 crore in the year ago period adjusting for the Rs 639 crore gains from KG Mobility and MCIE sale. Standalone revenue increased 11% at Rs 27,133 crore up from Rs 24,403 crore last Q1.
The company currently has more than 1,78,000 open bookings for its SUV range. It has the highest open bookings for ScorpioN (58,000), XUV3XO (55,000) and Thar (42,000).
“We have increased our SUV production capacity from 19,000 per month three years ago to 49,000 units right now and the waiting period for Thar, ScorpioN and 3XO are down to 8 to 10 weeks on average,” said Rajesh Jejurikar, ED & CEO, auto & farm sectors, M&M.
The company intends to add 5,000 units of SUV capacity and 10,000 units of EV capacity by end FY25 taking combined capacity to 64,000 units per month.
As for exiting any more subsidiary businesses, M&M group MD & CEO Anish Shah said: “We’ve completed all the exits we had to, and all our businesses are firing on all cylinders.”
As for a possible deeper partnership with Volkswagen which has indicated it is looking for a local tie-up, he added: “We already have a relationship with them. If there is a solid reason to go into a partnership with anybody, we will look at it.”