Mahindra & Mahindra Reports 35% YoY Profit Jump in Q2 FY25

Mahindra & Mahindra Ltd (M&M) announced a 35% year-on-year (YoY) increase in its consolidated net profit, reaching ₹3,171 crore for the second quarter of FY25. This is compared to ₹2,348 crore in the same quarter last year.

Consolidated Revenue Growth

The company’s revenue from operations for Q2 FY25 grew by 10%, amounting to ₹37,689 crore, up from ₹34,281 crore in Q2 FY24.

Stand-alone Performance

On a standalone basis, M&M’s net profit stood at ₹3,840.88 crore, reflecting a 13.2% growth from ₹3,393.06 crore in Q2 FY24. Standalone revenue also saw a 12% increase YoY, reaching ₹28,919 crore.

Record Sales in Auto and Farm Segments

M&M reported its highest-ever quarterly sales volume in the automobile segment, with 2,31,038 units sold, marking a 9% YoY increase. The company also saw a 4% YoY growth in tractor sales, reaching 92,382 units. The Farm Equipment segment achieved its highest-ever market share for Q2 at 42.5%.

Strong Operational Performance

M&M’s EBITDA (earnings before interest, taxes, depreciation, and amortisation) for Q2 FY25 increased by 30% to ₹3,908 crore, compared to ₹2,993 crore last year. The EBITDA margin also improved by 190 basis points to 14.2% from 12.3%.

SUV and Tractor Segment Growth

Rajesh Jejurikar, Executive Director & CEO of M&M’s Auto and Farm Sector, highlighted that the company gained market share in both its Auto and Tractor segments. SUV volumes grew by 18% YoY, and the company also saw a 260 bps YoY increase in market share for Light Commercial Vehicles (LCVs) under 3.5 tons.

Automobile Segment Performance

The automobile segment saw a 14% growth in revenue, reaching ₹21,110.28 crore, compared to ₹18,514.74 crore in the previous year. The segment’s EBIT increased by 17.37% to ₹2,005.98 crore.

Farm Equipment Segment Performance

The Farm Equipment segment’s revenue grew by 9.75% to ₹6,496.81 crore from ₹5,919.51 crore. EBIT for this segment also rose by 20%, reaching ₹1,136.22 crore.

On November 8, 2024, M&M share price opened at ₹2,910.00 and touched the day high of ₹2,940.00 as of 09:37 AM on NSE.

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