Bajaj Auto net profit rises to Rs 4,675 crore in FY19; board recommends dividend

Indian two-wheeler major Bajaj Auto posted net profit of Rs 4,675.18 crore during the financial year 2018-19. This amounts to a 14.92 per cent increase in the company's net profit, as compared to the net profit of Rs 4,068.10 crore it posted during the financial year 2017-18. Bajaj Auto sold 50,19,503 units during the fiscal under review, up from the 40,06,791 units sold during the financial year 2017-18. With a rise in sales numbers, the total revenue from operations during the period under review rose to Rs 30,249.96 crore from Rs 26,910.51 crore during the previous fiscal, the company showed in a filing to the Bombay Stock Exchange.

Bajaj Auto said a Supreme Court ruling held the company is not liable to pay Rs 342 crore as penalty and interest towards National Calamity Contingent Duty (NCCD), education cess and secondary and higher education cess.

ALSO READ: Hindalco net profit slips 10% to Rs 5,495 crore in FY19, revenue up 13%; board declares dividend

"The Company has accordingly reversed the charge of Rs 342 crore as an exceptional item in the current year; and has disclosed the corresponding amount in the Balance Sheet as "Deposits receivable from the Government". The company has however not received refund of the said amount from the excise authorities up to the date of approval of the financial statements by the Board of Directors of the Company," Bajaj Auto said in its filing.

On a quarterly basis, Bajaj Auto posted a net profit of Rs 1,305.59 crore during the March quarter of FY19, as compared to Rs 1,079.87 crore reported during the corresponding period last fiscal. During the quarter under review, the company posted total revenue from operations at Rs 7,395.1 crore as compared to Rs 6,788.42 crore seen during the March quarter of 2017-18.

ALSO READ: IIFL Holdings consolidated profit jumps 23% to Rs 1,252.90 crore in FY19, revenue up 16%

During Q4 FY19, Bajaj Auto reported total sales of 11,93,590 units during January-March period, as compared to 10,45,378 units during the same period for the previous fiscal. Furthermore, the Board of Directors of Bajaj Auto has recommended a dividend of Rs 60 per equity share (600%), subject to approval of shareholders, the company said in its statement. Shares of the company traded higher by 3.24 per cent at Rs 3,040 on BSE Friday.