Hero MotoCorp Ltd. (HMCL), the world’s largest two-wheeler manufacturer, today reported its financial performance for the first quarter (April–June 2016) of FY ‘17.
During the quarter, the company registered a Gross turnover (Gross Sales & other Operating Income) of Rs 8010.66 crore and highest ever net profit after tax (PAT) of Rs 883.10 crore. HMCL had reported a total turnover of Rs 7435.47 crore and PAT of Rs 747.54 crore in the corresponding quarter in the previous fiscal (2015-16).
The EBIDTA margin improved to its highest ever 16.63%, as against 15.09% over the corresponding Quarter.
In line with the change in regulation, the Company adopted Indian Accounting Standards (IND-AS) for FY 2016-17. Accordingly figures for the previous period and year have been revised to reflect IND-AS.
Riding on the popularity of its motorcycle and scooters, Hero MotoCorp sold 17,45,389 units of two-wheelers during the quarter, as against 16,45,867 units in the Q1 2015-16. This is the highest-ever quarterly sales for Hero MotoCorp.
Providing additional momentum to the growth trajectory has been the 125cc segment where the company now commands well over 50% market share, thanks to the large volume contributions from Glamour and Super Splendor.In the first quarter of this fiscal (FY’17), Glamour grew by 32% and Super Splendor grew by 29% over the corresponding quarter in the previous fiscal.
Hero MotoCorp recently launched the all-new Splendor iSmart 110 – the first motorcycle to have been completely designed and developed by the in-house R&D team at the Hero Centre of Innovation and Technology (CIT) at Jaipur, and the initial response from customers have been positive.