Views on Maruti Suzuki 2QFY2016 Results: Angel Broking

Views of Mr. Bharat Gianani (Sr. Research Analyst - Automobile, Angel Broking) on Maruti Suzuki 2QFY2016 Results:

"Maruti Suzuki 2QFY2016 results were in line with estimates. Revenues grew 13% yoy to INR 13,934 cr coming in line with our expectations. Topline growth was primarily driven by volumes which grew about 10% in the quarter. Realization per vehicle grew by 3% led by a better product mix. Maruti managed to maintain the record margins clocking in a margin of 16.3% (similar to 1QFY2016 levels) despite a marginal appreciation in the Japanese Yen vis a vis the Indian Rupee. Operating leverage coupled with reduction in discounts helped the company to maintain record margins during 2QFY2016. Given the strong operating performance, the Net profit grew strongly 42% yoy to INR 1,226 cr coming in line with our expectations of INR 1,248 cr. Given the in line results, we maintain our positive view on the stock."

Shares of MARUTI SUZUKI INDIA LTD. was last trading in BSE at Rs.4495.55 as compared to the previous close of Rs. 4494.6. The total number of shares traded during the day was 125097 in over 11562 trades.

The stock hit an intraday high of Rs. 4558 and intraday low of 4470.4. The net turnover during the day was Rs. 564812289.

Source : Equity Bulls

Keywords