Chennai, July 21, 2017: Ashok Leyland, flagship of the Hinduja Group achieved its highest ever Q1 market share of 34.7 %. Ashok Leyland reported a revenue of Rs. 4514.39 Crores (Rs.4531.33 Crores) for the quarter ended 30th June 2017. Profit After Tax (PAT) was Rs.111.24 Crores (Rs.290.78 Crores).
The company has gained YOY market share in 12 of the last 13 quarters. The market share growth was driven by the success of its innovative iEGR technology for BS IV engines launched in April 2017. The technology has been well accepted by customers and has once again showcased Ashok Leyland’s technology capabilities.
The profitability for the quarter was lower, primarily because of a richer mix and exchange gain on swap contracts in Q1 last year. The mix is expected to significantly improve in the coming quarters.
The next 3 Quarters look promising as the demand is expected to pick up on the back of Government spending on infrastructure as well as positive impact of GST.
Mr. Vinod K. Dasari, Managing Director, Ashok Leyland Limited said “It has been a very satisfying quarter. Despite all the challenges, our robust market share growth exemplifies the technological leadership of Ashok Leyland. Our recently launched iEGR technology for BS-IV has been well accepted by customers and we are ramping up capacity to cater to the growing demand. This technology is by far the best solution for Indian conditions.”
Mr. Gopal Mahadevan, CFO, Ashok Leyland added, “Our Financial performance continues to be robust. The best part about Ashok Leyland’s initiatives is the strong customer focus even as we drive financial performance. Debt / Equity for the quarter was 0.3:1.
The results include the financial performance of HFL.