For
the quarter ending Sept 2023, consolidated Net sales (including other operating income) of TVS Motor Company has increased 16.03% to Rs 9932.82 crore compared to quarter ended Sept 2022. Sales of Automotive Vehicles & Parts segment has gone up 13.03% to Rs 8,447.13 crore (accounting for 84.15% of total sales). Sales of Automotive Components segment has gone down 17.53% to Rs 195.57 crore (accounting for 1.95% of total sales). Sales of Others segment has gone down 0.00% to Rs 0.02 crore (accounting for 0.00% of total sales). Sales of Financial Services segment has gone up 45.16% to Rs 1,395.10 crore (accounting for 13.90% of total sales). Inter-segment sales came down from Rs 110.58 crore to Rs 105.00 crore. Profit before interest, tax and other unallocable items (PBIT) has jumped 24.44% to Rs 766.99 crore. PBIT of Automotive Vehicles & Parts segment rose 16.61% to Rs 576.61 crore (accounting for 75.18% of total PBIT). PBIT of Automotive Components reported profit of Rs 11.21 crore compared to loss of Rs 6.14 crore. PBIT of Others segment rose 50.00% to Rs 0.03 crore (accounting for 0.00% of total PBIT). PBIT of Financial Services segment rose 40.00% to Rs 179.14 crore (accounting for 23.36% of total PBIT).
PBIT margin of Automotive Vehicles & Parts segment rose from 6.62% to 6.83%. PBIT margin of Automotive Components segment rose from negative 2.59% to 5.73%. PBIT margin of Others segment rose from 100.00% to 150.00%. PBIT margin of Financial Services segment fell from 13.31% to 12.84%. Overall PBIT margin rose from 7.11% to 7.64%.
Operating profit margin has jumped from 12.69% to 13.65%, leading to 24.81% rise in operating profit to Rs 1,355.88 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 64.51% to 62.68%. Purchase of finished goods cost fell from 2.66% to 1.46%. Employee cost decreased from 8.69% to 8.24%. Other expenses rose from 11.58% to 14.20%. Other income rose 70.91% to Rs 50.93 crore. PBIDT rose 26.04% to Rs 1406.81 crore. Provision for interest rose 42.86% to Rs 483.27 crore. Loan funds declined from Rs 18,674.62 crore as of 30 September 2022 to Rs 12,852.60 crore as of 30 September 2023. Inventories rose to Rs 2,559.31 crore as of 30 September 2023 from Rs 1,634.49 crore as of 30 September 2022. Sundry debtors were higher at Rs 1,615.64 crore as of 30 September 2023 compared to Rs 1,404.38 crore as of 30 September 2022. Cash and bank balance rose to Rs 2,821.47 crore as of 30 September 2023 from Rs 2,226.71 crore as of 30 September 2022. Investments rose to Rs 1,047.95 crore as of 30 September 2023 from Rs 766.50 crore as of 30 September 2022 .
PBDT rose 18.73% to Rs 923.54 crore. Provision for depreciation rose 11.69% to Rs 237.13 crore. Fixed assets increased to Rs 6,064.14 crore as of 30 September 2023 from Rs 3,996.11 crore as of 30 September 2022. Intangible assets declined from Rs 1,696.13 crore to Rs 597.05 crore.
Profit before tax grew 21.38% to Rs 686.41 crore. Share of profit/loss was 32.23% higher at Rs -10.64 crore. Provision for tax was expense of Rs 259.84 crore, compared to Rs 176.33 crore. Effective tax rate was 38.45% compared to 32.08%.
Net profit attributable to owners of the company increased 0.01% to Rs 386.34 crore. Equity capital stood at Rs 47.51 crore as of 30 September 2023 to Rs 47.51 crore as of 30 September 2022. Per share face Value remained same at Rs 1.00.
Promoters’ stake was 50.27% as of 30 September 2023 ,compared to 50.81% as of 30 September 2022 .
For year-to-date (YTD) results analysis.
Net sales (including other operating income) of TVS Motor Company has increased 19.60% to Rs 18988.33 crore. Sales of Automotive Vehicles & Parts segment has gone up 16.38% to Rs 16,061.21 crore (accounting for 83.69% of total sales). Sales of Automotive Components segment has gone down 12.84% to Rs 384.19 crore (accounting for 2.00% of total sales). Sales of Others segment has gone down 98.94% to Rs 0.04 crore (accounting for 0.00% of total sales). Sales of Financial Services segment has gone up 50.23% to Rs 2,745.65 crore (accounting for 14.31% of total sales).
Profit before interest, tax and other unallocable items (PBIT) has jumped 31.94% to Rs 1,469.92 crore. PBIT of Automotive Vehicles & Parts segment rose 23.45% to Rs 1,114.37 crore (accounting for 75.81% of total PBIT). PBIT of Automotive Components reported profit of Rs 20.30 crore compared to loss of Rs 34.04 crore. PBIT of Others segment fell 99.41% to Rs 0.04 crore (accounting for 0.00% of total PBIT). PBIT of Financial Services segment rose 40.46% to Rs 335.21 crore (accounting for 22.80% of total PBIT).
PBIT margin of Automotive Vehicles & Parts segment rose from 6.54% to 6.94%. PBIT margin of Automotive Components segment rose from negative 7.72% to 5.28%. PBIT margin of Others segment fell from 179.68% to 100.00%. PBIT margin of Financial Services segment fell from 13.06% to 12.21%. Overall PBIT margin rose from 6.93% to 7.66%.
Operating profit margin has jumped from 12.54% to 13.54%, leading to 29.07% rise in operating profit to Rs 2,570.47 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 63.93% to 60.90%. Purchase of finished goods cost rose from 2.81% to 3.13%. Employee cost decreased from 8.84% to 8.51%. Other expenses rose from 11.92% to 14.24%. Other income rose 121.98% to Rs 137.47 crore. PBIDT rose 31.87% to Rs 2707.94 crore. Provision for interest rose 46.03% to Rs 920.32 crore. Loan funds declined from Rs 18,674.62 crore as of 30 September 2022 to Rs 12,852.60 crore as of 30 September 2023. Inventories rose to Rs 2,559.31 crore as of 30 September 2023 from Rs 1,634.49 crore as of 30 September 2022. Sundry debtors were higher at Rs 1,615.64 crore as of 30 September 2023 compared to Rs 1,404.38 crore as of 30 September 2022. Cash and bank balance rose to Rs 2,821.47 crore as of 30 September 2023 from Rs 2,226.71 crore as of 30 September 2022. Investments rose to Rs 1,047.95 crore as of 30 September 2023 from Rs 766.50 crore as of 30 September 2022 .
PBDT rose 25.60% to Rs 1787.62 crore. Provision for depreciation rose 12.85% to Rs 463.99 crore. Fixed assets increased to Rs 6,064.14 crore as of 30 September 2023 from Rs 3,996.11 crore as of 30 September 2022. Intangible assets declined from Rs 1,696.13 crore to Rs 597.05 crore.
Profit before tax grew 30.78% to Rs 1,323.63 crore. Share of profit/loss was 15.56% higher at Rs -21.33 crore. Provision for tax was expense of Rs 444.9 crore, compared to Rs 315.54 crore. Effective tax rate was 34.16% compared to 32.01%.Net profit attributable to owners of the company increased 18.64% to Rs 820.64 crore.
Equity capital stood at Rs 47.51 crore as of 30 September 2023 to Rs 47.51 crore as of 30 September 2022. Per share face Value remained same at Rs 1.00.
Promoters’ stake was 50.27% as of 30 September 2023 ,compared to 50.81% as of 30 September 2022 .
Cash flow from operating activities increased to negative Rs -1,244.55 crore for YTD ended September 2023 from negative Rs -1,953.15 crore for YTD ended September 2022. Cash flow used in acquiring fixed assets during the YTD ended September 2023 stood at Rs 601.40 crore, compared to Rs 492.51 crore during the YTD ended September 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 62.58%. 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 12.98%. 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 increased to Rs 5,894.43 crore as of 31 March 2023 from Rs 4,835.86 crore as of 31 March 2022. Intangible assets declined from Rs 1,690.31 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 grew by 5% registering 10.74 Lakh units in the quarter
ended September 2023 as against 10.27 Lakh units registered in the quarter
ended September 2022.
Motorcycle sales grew by 3% registering
4.93 Lakh units in the quarter ended September 2023 as against 4.77 Lakh units
in quarter ended September 2022.
Scooter sales for the quarter ended
September 2023 grew by 10% registering 4.20 Lakh units as against the sales of
3.83 Lakh units in the second quarter of 2022-23.
The Company recorded two-wheeler exports of
2.39 Lakh units in the quarter ended September 2023 as against 2.52 Lakh units
in the quarter ended September 2022, down by 5.15% YoY. Total three-wheeler
sales for the quarter under review was at 0.43 Lakh units as against 0.51 Lakh
units during second quarter of 2022-23, down by 15.68%.
Company’s cumulative TVS iQube sales
surpassed 2 lakh units. During Q2 FY24, the Company sold 0.58 Lakh units as
against 0.16 Lakh units during quarter ended September 2022.
The total two-wheeler sales of the Company
for the half-year ended September 2023 grew by 6% registering 19.50 Lakh units
as against 18.38 Lakh units recorded in the half-year ended September 2022.
The total three-wheeler sales for the half-year
ended September 2023 is at 0.78 Lakh units as against 0.97 Lakh units
registered in the half-year ended September 2022.
The total export of two and three-wheelers
for the half-year ended September 2023 is at 5.04 Lakh units as against 6.36
Lakh units in the half-year ended September 2022.