Bajaj Auto profit declines 24.5 percent in Q1
Automotive manufacturer Bajaj Auto reported net profit of Rs 1,170.2 crore in the first quarter of fiscal year 2022. It was a 24.5 percent decline over the previous quarter, which the company attributed to pandemic-related lockdowns and increase in fuel prices.
Bajaj Auto’s revenue for the quarter stood at Rs 7,386.04 crore, a sequential decline of 14 percent.
However, its revenue from operations was up 140 percent, compared to a lower base in the corresponding quarter last year when the pandemic led to nationwide lockdowns. Bajaj Auto's net profit in the first quarter of FY 2022 was also 196 percent higher for the same period.
“The recovery over the past three quarters got undone with the second wave of COVID-19, which again led to restrictions and full or partial lockdowns,” the company said in a stock filing on Thursday.
The weak domestic demand was partially off-set with strong exports across all major geographies, it added.
The automaker’s sales volume (1.01 million units) dipped 14 percent on a quarter-on-quarter basis. Two-wheelers sales in the domestic market dropped 30 percent this quarter over the March 2021 quarter. It sold 342,552 two-wheelers, compared to 487,731 units in March 2021.
The commercial vehicles category saw a steeper decline of 69 percent to 14,585 units, compared to the previous quarter where the sales stood at 46,388 units in the June-ended quarter.
The company’s exports have increased by 2 percent to 648,877 units this quarter, despite challenges in availability of containers.