Two-wheeler maker Hero MotoCorp on Thursday reported an increase of 10.3 per cent in its net profit at Rs 615.5 crore for the first quarter ended June, riding on the highest-ever quarterly sales volumes.
Its sales stood at 1,642,292 units, Hero MotoCorp said in a statement.
The company had posted a net profit of Rs 557.9 crore in the year-ago period.
Revenue from net sales stood at Rs 6,207.8 crore, against Rs 5,637.7 crore in the year-ago period, it said.
Commenting on the results, Managing Director and Chief Executive Pawan Munjal said: “It has now been more than a year since we began our solo journey, and the success story at Hero MotoCorp only gets stronger with every passing quarter.”
The company is stepping on the accelerator to expand its network within the country even as it enters new geographies globally, he added. However, Munjal felt the patchy monsoon might reflect on retail sales in rural and upcountry markets in the coming months.
“Currency volatility is also a point of concern and the rupee depreciation is likely to impact our margins. However, we remain optimistic of coming back to double-digit growth by leveraging our strong brand and the advantage of our wide network,” Munjal said.
Recently, the company had also announced an investment of Rs 2,500 crore in setting up two plants (in Rajasthan and Gujarat) and expanding capacity at existing ones, Hero MotoCorp said.
Shares of Hero MotoCorp on Thursday closed at Rs 2,087.5 on the BSE, down 1.37 per cent from its previous close.