For
the quarter ending March 2023, consolidated net sales (including other operating income) of TVS Motor Company has increased 21.96% to Rs 8031.4 crore compared to quarter ended Mar 2022. Sales of Automotive Vehicles & Parts segment has gone up 17.69% to Rs 6,704.43 crore (accounting for 82.45% of total sales). Sales of Automotive Components segment has gone down 3.68% to Rs 192.43 crore (accounting for 2.37% of total sales). Sales of Others segment has gone down 99.79% to Rs 0.01 crore (accounting for 0.00% of total sales). Sales of Financial Services segment has gone up 60.83% to Rs 1,234.82 crore (accounting for 15.19% of total sales). Inter-segment sales rose Rs 83.58 crore to Rs 100.29 crore. Profit before interest, tax and other unallocable items (PBIT) has jumped 30.98% to Rs 539.70 crore. PBIT of Automotive Vehicles & Parts segment rose 11.26% to Rs 395.87 crore (accounting for 73.35% of total PBIT). PBIT of Automotive Components reported profit of Rs 7.35 crore compared to loss of Rs 15.86 crore. PBIT of Others segment fell 6.67% to Rs -3.52 crore (accounting for -0.65% of total PBIT). PBIT of Financial Services segment rose 85.65% to Rs 140.00 crore (accounting for 25.94% of total PBIT).
PBIT margin of Automotive Vehicles & Parts segment fell from 6.25% to 5.90%. PBIT margin of Automotive Components segment rose from negative 7.94% to 3.82%. PBIT margin of Others segment fell from negative 70.66% to negative 35,200.00%. PBIT margin of Financial Services segment rose from 9.82% to 11.34%. Overall PBIT margin rose from 6.18% to 6.64%.
Operating profit margin has jumped from 12.61% to 13.12%, leading to 26.95% rise in operating profit to Rs 1,053.89 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 62.83% to 61.69%. Purchase of finished goods cost fell from 5.18% to 1.70%. Employee cost increased from 8.15% to 9.51%. Other expenses rose from 11.83% to 13.94%. Other income rose 395.50% to Rs 67.14 crore. PBIDT rose 32.87% to Rs 1121.03 crore. Provision for interest rose 51.71% to Rs 398.26 crore. Loan funds declined from Rs 15,827.21 crore as of 31 March 2022 to Rs 13,311.50 crore as of 31 March 2023. Inventories rose to Rs 1,921.51 crore as of 31 March 2023 from Rs 1,642.36 crore as of 31 March 2022. Sundry debtors were higher at Rs 1,232.20 crore as of 31 March 2023 compared to Rs 1,155.24 crore as of 31 March 2022. Cash and bank balance rose to Rs 1,879.11 crore as of 31 March 2023 from Rs 1,535.61 crore as of 31 March 2022. Investments rose to Rs 967.25 crore as of 31 March 2023 from Rs 604.56 crore as of 31 March 2022 .
PBDT rose 24.36% to Rs 722.77 crore. Provision for depreciation rose 12% to Rs 231.78 crore. Fixed assets declined from Rs 5,956.70 crore as of 31 March 2022 to Rs 5,894.43 crore as of 31 March 2023. Intangible assets increased from Rs 569.47 crore to Rs 597.05 crore.
Profit before tax grew 31.20% to Rs 490.99 crore. Share of profit/loss was 2.81% higher at Rs -4.49 crore. Provision for tax was expense of Rs 150.83 crore, compared to Rs 92.99 crore. Effective tax rate was 31.00% compared to 25.29%.
Minority interest increased 84.53% to Rs -0.43 crore. Net profit attributable to owners of the company increased 21.14% to Rs 336.10 crore. Equity capital stood at Rs 47.51 crore as of 31 March 2023 to Rs 47.51 crore as of 31 March 2022. Per share face Value remained same at Rs 1.00.
Promoters’ stake was 50.27% as of 31 March 2023 ,compared to 50.81% as of 31 March 2022 .
Full year results analysis.
Net sales (including other operating income) of TVS Motor Company has increased 31.28% to Rs 31973.99 crore. Sales of Automotive Vehicles & Parts segment has gone up 28.79% to Rs 27,368.31 crore (accounting for 84.59% of total sales). Sales of Automotive Components segment has gone up 25.36% to Rs 826.21 crore (accounting for 2.55% of total sales). Sales of Others segment has gone down 77.80% to Rs 3.82 crore (accounting for 0.01% of total sales). Sales of Financial Services segment has gone up 51.30% to Rs 4,156.35 crore (accounting for 12.85% of total sales). Inter-segment sales rose Rs 318.08 crore to Rs 380.70 crore. Profit before interest, tax and other unallocable items (PBIT) has jumped 78.04% to Rs 2,176.37 crore. PBIT of Automotive Vehicles & Parts segment rose 47.38% to Rs 1,679.47 crore (accounting for 77.17% of total PBIT). PBIT of Automotive Components segment rose 75.66% to Rs -15.39 crore (accounting for -0.71% of total PBIT). PBIT of Others reported profit of Rs 3.30 crore compared to loss of Rs 2.15 crore. PBIT of Financial Services segment rose 243.38% to Rs 508.99 crore (accounting for 23.39% of total PBIT).
PBIT margin of Automotive Vehicles & Parts segment rose from 5.36% to 6.14%. PBIT margin of Automotive Components segment rose from negative 9.60% to negative 1.86%. PBIT margin of Others segment rose from negative 12.49% to 86.39%. PBIT margin of Financial Services segment rose from 5.40% to 12.25%. Overall PBIT margin rose from 4.95% to 6.73%.
Operating profit margin has jumped from 11.31% to 12.72%, leading to 47.66% rise in operating profit to Rs 4,067.38 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 64.75% to 62.57%. Purchase of finished goods cost rose from 2.35% to 2.77%. Employee cost increased from 8.63% to 9.00%. Other expenses fell from 13.08% to 12.99%. Other income rose 319.84% to Rs 138 crore. PBIDT rose 50.87% to Rs 4205.38 crore. Provision for interest rose 45.49% to Rs 1367.89 crore. Loan funds declined from Rs 15,827.21 crore as of 31 March 2022 to Rs 13,311.50 crore as of 31 March 2023. Inventories rose to Rs 1,921.51 crore as of 31 March 2023 from Rs 1,642.36 crore as of 31 March 2022. Sundry debtors were higher at Rs 1,232.20 crore as of 31 March 2023 compared to Rs 1,155.24 crore as of 31 March 2022. Cash and bank balance rose to Rs 1,879.11 crore as of 31 March 2023 from Rs 1,535.61 crore as of 31 March 2022. Investments rose to Rs 967.25 crore as of 31 March 2023 from Rs 604.56 crore as of 31 March 2022 .
PBDT rose 53.60% to Rs 2837.49 crore. Provision for depreciation rose 15.62% to Rs 858.86 crore. Fixed assets declined from Rs 5,956.70 crore as of 31 March 2022 to Rs 5,894.43 crore as of 31 March 2023. Intangible assets increased from Rs 569.47 crore to Rs 597.05 crore.
Profit before tax grew 79.16% to Rs 1,978.63 crore. Extraordinary items were increased to Rs -1.87 crore. Provision for tax was expense of Rs 626.57 crore, compared to Rs 335.91 crore. Effective tax rate was 32.36% compared to 31.49%.
Minority interest increased 25.94% to Rs -19.21 crore. Net profit attributable to owners of the company increased 75.56% to Rs 1,328.67 crore.
Equity capital stood at Rs 47.51 crore as of 31 March 2023 to Rs 47.51 crore as of 31 March 2022. Per share face Value remained same at Rs 1.00.
Promoters’ stake was 50.27% as of 31 March 2023 ,compared to 50.81% as of 31 March 2022 .
Cash flow from operating activities decreased to negative Rs -4,404.83 crore for year ended March 2023 from negative Rs -1,560.16 crore for year ended March 2022. Cash flow used in acquiring fixed assets during the year ended March 2023 stood at Rs 1,340.77 crore, compared to Rs 984.86 crore during the year ended March 2022.
Other Highlights
The overall two-wheeler and three-wheeler
sales including exports was 8.68 Lakh units in the quarter ended March 2023 as
against 8.56 Lakh units registered in the quarter ended March 2022.
Motorcycle sales for the quarter ended
March 2023 registered 3.89 Lakh units as against 4.42 Lakh units in quarter
March 2022. In Q4 FY23, Scooter sales grew by 30% YoY registering 3.40 Lakh
units as against 2.62 Lakh units in Q4 FY22.
Electric vehicles registered sales of 0.43
Lakh units in the quarter ended March 2023 as against 0.06 Lakh units during
the quarter ended March 2022. Three-wheeler sales was 0.29 Lakh units as
against 0.42 Lakh units in Q4 FY22.
In FY23, overall two and three-wheeler
sales of TVS Motor Company grew by 11% to 36.82 Lakh units as against 33.10
Lakh units in FY22.
Motorcycles sales during FY23 was 17.33
Lakh units as against 17.32 Lakh units in FY22. Scooter sales during the fiscal
year grew by 45% at 13.34 Lakh units as against 9.23 Lakh units in the year
ended March 2022.
Electric vehicles registered sales of 0.97
Lakh units in FY23 as against 0.11 Lakh units in FY22. Three-wheeler sales was
1.69 Lakh units as against 1.72 Lakh units in FY22.