Hero MotoCorp reports a fall of 20 per cent in its Q3 net profit
Hero MotoCorp, India’s largest two-wheeler manufacturer, has reported its net profit figures for the third quarter of ongoing fiscal at Rs. 487.98 crore, marking a fall of 20.41 per cent, under the review of profits reported in the year-ago period. During the same quarter in last fiscal, the net profit of auto maker stood at Rs. 613.03 crore. The net sales in Q3 of 2013, which is October-December, reported at Rs. 6,151.31 crore, over Rs. 5,983.55 crore recorded in the year-ago period.
The Chief Executive Officer (CEO) and Managing Director of Hero MotoCorp, Pawan Munjal was quoted as saying, “The last two quarters have been challenging for the Indian auto industry on account of the delayed monsoons, rising fuel prices and subdued sentiments.”
During the period, the volume sales of the auto company also market a dip at 15,73,135 units, over 15,89,286 units sold in the year-ago period. In Q3, the other expenses of Hero MotoCorp were Rs. 625.33 crore over Rs. 498.68 crore recorded in the same tenure of last fiscal.
Munjal however said that the company registered a decent growth during the festive season. Reportedly, Hero MotoCorp delivered more than 1.1 million units during October and November. He further said, “Our despatches were consistently over five-lakh every month of this quarter. This trend may be an early sign of recovery and we hope the domestic two-wheeler industry will revert to higher growth rates in near future. Whenever that happens, we will be geared-up to meet the upsurge in demand.”