Eicher Motor profit jumps 62% in Q3

Delhi-based Eicher Motors, the manufacturer of trucks, buses and two-wheelers, today reported 62% increase in consolidated net profit at Rs 107 crore for the third quarter ended September 30, 2013 as compared to the same quarter last year when the company posted Rs 66 crore.

Consolidated net sales for the reporting period stood at Rs 1,661 crore, an increase of 13% as against Rs 1,470 crore posted in the corresponding period last year. The company follows January-December financial year.

Siddhartha Lal, Managing Director & CEO, Eicher Motors said, “We have continued to improve our overall market share in commercial vehicles through our 50:50 joint venture with the Volvo Group – VE Commercial Vehicles (VECV)."

Other operating income for the quarter and nine months included provisions no longer required written back in subsidiary company VECVL amounting to Rs 52.69 crore.

The company reported growth of 60.6% in Royal Enfield sales with record sales of 48,242 units as compared to 30,046 units in the reporting quarter.

"We continue to extract operating leverage from the business, thus improving the EBIT margin to 17.5% in Q3 2013 as compared to 13.4% in Q3 2012”, Lal added.

VECV’s Eicher Trucks and Buses division (ETB) is preparing to launch its full new range of trucks and buses across light, medium and heavy duty next month.