TVS Motor Q1 FY24 results: Net Profit jumps 46% to Rs 468 crore; revenue up 20%

TVS Motor Company Ltd on Monday reported a 46 per cent rise, year-on-year (YoY), in its June 2023 quarter (Q1 FY24) net profit. The company's profit after tax (PAT) grew by 46 per cent, at Rs 468 crore, in Q1 FY24 as against Rs 321 crore during the year-ago period.

The company's revenue from operations in the quarter ended June 2023 grew by 20 per cent, at Rs 7,218 crore, as against Rs 6,009 crore in Q1 FY23.

TVS Motor said posted its highest ever operating EBITDA of Rs 764 crores with a growth of 27 per cent for the first quarter of 2023-24 as against EBITDA of Rs 599 crore in Q1 FY23. The company's operating EBITDA improved by 60 basis points (bps) at 10.60 per cent in Q1 FY24 as against 10 per cent in the same period last year.

The overall two-wheeler and three-wheeler sales including exports grew by 5 per cent, registering sales of 9.53 lakh units in Q1 FY24 as against 9.07 lakh units registered in the corresponding period a year ago.

"Motorcycle sales grew by 7 per cent, registering 4.63 lakh units in the quarter ended June 2023 as against 4.34 lakh units in Q1 FY23. Scooter sales for the quarter ended June 2023 grew by 11 per cent at 3.50 lakh units as against 3.15 lakh units in Q1 FY23. Three-wheeler sales for the quarter under review is at 0.35 Lakh units as against 0.46 Lakh units during first quarter of 2022-23. Electric scooter (e-scooter) sales for the quarter ended June 2023 is at 39,000 units as against 9,000 units in the quarter ended June 2022. The booking for TVS iQube continues to be healthy," the TVS Motor stated.

Shares of the automaker slipped 2.69 per cent today to settle at Rs 1,306.50.

On technical setup, the stock traded higher than the 100-day and 200-day moving averages but lower than the 5-day, 20- and 50-day moving averages. The counter's 14-day relative strength index (RSI) came at 45.19. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company's stock has a price-to-earnings (P/E) ratio of 42.78 against a price-to-book (P/B) value of 10.55.

The scrip has an average target price of Rs 1,290, Trendlyne data showed, suggesting a potential downside of just 1 per cent. It has a one-year beta of 0.83, indicating low volatility on the counter.

Also read: Hot stocks on July 24, 2023: YES Bank, Suzlon Energy, Mazagon Dock, SJVN and more

Also read: Stocks that share market analysts recommended on July 24, 2023: Infosys, Coforge, Tata Communications, ITC