Bajaj Auto Ltd on Tuesday posted a 19.44 per cent jump rise in its first-quarter (Q1 FY25) profit on account of strong operational performance. The automaker's standalone profit after tax (PAT) rose to Rs 1,988.34 crore for the three months to June 30, 2024, from Rs 1,664.77 crore in the year-ago period. The company's total revenue climbed 15.70 per cent to Rs 11,928.02 crore in Q1 FY25 compared to Rs 10,309.77 crore in the corresponding period last year.
Domestic brokerage Prabhudas Lilladher (PL) said Bajaj Auto saw consistent improvement in mix driving average selling price (ASP) and margin profile. "ASP increased by 7.9 per cent year-on-year (YoY) led by 760 bps (basis points) improvement in 125cc and higher category motorcycles," it stated. Strong operational performance led to PAT expansion, PL added.
"Pulsar volume continues to grow in double-digits, further bolstered by the launch of Pulsar NS400z. Additionally, revenue from Triumph since its launch increased to Rs 1,200 crore with 60k deliveries so far," the brokerage also mentioned.
Bajaj Auto's portfolio of motorcycles in the category includes models in its Pulsar series and premium motorcycles that the company makes under partnerships with Austria's KTM and British Triumph.
"Its electric portfolio (e2W/e3W) accounted for 14 per cent of the domestic revenue led by steady focus on improving the penetration of respective products," PL also said.
"Revenue growth was driven by robust sales in the premium category and healthy spare revenue. Despite around 2x growth in its 2W EV dispatches as well as an increase in prices of some key raw materials, it continues to deliver ASP and margin improvement driven by healthy mix improvement in domestic and international markets," it further stated.
On the stock-specific front, Bajaj Auto shares moved 2.42 per cent higher to hit a day high of Rs 9,909.95. The stock gave up a major chunk of its gains and was last seen trading 0.22 per cent up at Rs 9,696.35. At this price, it has climbed 7.79 per cent in 2024 so far.
The company's stock has a price-to-equity (P/E) ratio of 36.12 against a price-to-book (P/B) value of 10.87. Earnings per share (EPS) stood at 267.88 with a return on equity of (RoE) 30.08.