The Board of Directors of Mahindra and Mahindra Limited today announced the financial results for the quarter ended 31st March 2014 of the company and the audited results for the year ended 31st March 2014 for the company and the consolidated Mahindra Group.
The Board of Directors of Mahindra and Mahindra Limited today announced the financial results for the quarter ended 31st March 2014 of the company and the audited results for the year ended 31st March 2014 for the company and the consolidated Mahindra Group.
Mahindra Vehicle Manufacturers Limited (MVML), located at Chakan near Pune, was set up as a 100% subsidiary of the company with a view to sourcing contemporary products for expanding the market offerings of the company. Hence, it is a critical part of its business and only the combined results of the company and MVML will provide a comprehensive view of company’s performance.
Q4 F2014 – M&M + MVML Results
The Gross Revenues and other income of Mahindra & Mahindra Ltd. and MVML (Entity) during the quarter ended 31st March 2014 is Rs. 11297.2 crore as against Rs. 11342.3 crore in the previous year. During the current quarter, the Scheme of Arrangement for the merger of the Trucks business of M&M’s subsidiary, Mahindra Trucks and Buses Ltd. (MTBL) with M&M, was approved by the Honourable High Court of Bombay vide its order dated 7th March 2014 and as required by the order, it has been given effect to w.e.f. 1st April 2013. In view of this the financials of the Trucks business of MTBL became a part of the current year financials of the company. Also due to the merger, the past unabsorbed tax losses related to the Trucks business of MTBL became available to the company and there was a one time tax saving during the current year.
After giving effect to the above, the Net Profit after exceptional items and tax for the current quarter is Rs. 967.7 crore, against Rs. 962.9 crore in Q4 last year. Excluding the Trucks business of MTBL, net profit after tax for the quarter is Rs 975.6 crore and the Operating Margin is 14.0%.
The deceleration in the Gross Revenues in the quarter is due to the challenging times the Indian auto industry is currently passing through with volumes shrinking by 11.6% in Q4 F2014. Despite this, the entity could deliver a healthy Operating Margin and a growth in its profits in the quarter due to a strong sales performance by its Farm Equipment Sector and a tight control on material costs and all expenses.
In the Passenger Utility Vehicle segment, the Entity sold 60900 vehicles in the current quarter with a market share of 43.3%. In the Cars segment, the Entity sold 1633 Veritos. The Entity also exported 8335 Vehicles in the current quarter.
In the wake of a good monsoon, the domestic tractor industry continued to show robust growth with sales of 138567 tractors in Q4 F2014, against 123767 tractors sold in Q4 last year – a growth of 12.0%. In this period, the Company’s domestic sales at 52732 tractors, grew by 14.4% over the 46107 tractors sold in Q4 last year. Company’s market share was 37.9% as against 37.1% in Q4 last year. Mahindra Powerol posted net revenue of Rs. 217.5 Crore in Q4 F2014.
Q4 F2014 – M&M Standalone results
The Gross Revenues and Other Income of Mahindra & Mahindra Ltd. for the quarter ended 31st March 2014 is Rs.11764.7 crore as against Rs. 11365.8 crore during the corresponding period last year. The Net Profit after exceptional items and tax for the current Q4 is Rs. 896.9 crore as against Rs. 889.2 crore in the same period. Excluding the impact of the above merger, net profit for the current Q4 is Rs 904.8 crore.
F2014 – M&M + MVML Results
The Gross Revenues and other income of Mahindra & Mahindra Ltd. and MVML during the year ended 31st March 2014 is Rs. 43256.4 crore as against Rs. 43655.3 crore in the previous year. The Net Profit after exceptional items and tax for the current year is Rs. 3905.1 crore as against Rs.3634.4 crore in the previous year – a growth of 7.4%. Excluding the impact of the merger, the net profit for the current quarter is Rs 3913.0 crore and the Operating Margin is 14.5%.
