Ashok Leyland posts record Q3 revenue: Sales up 8%, Exports jump 11%

Chennai, January 25, 2017: Ashok Leyland, flagship of the Hinduja Group, today reported the Q3 FY 2016-17 results where it clocked record revenues and volumes.

Results for Q3 FY 2016-17:

–          Revenues increased by 8% to Rs.4723 Cr as against Rs.4366 Cr, during same period last year

–          Export volumes increased by 11% to 2942 numbers.

–          Net profit stood at Rs.185.88 Cr, (Rs.213.71 Cr) (after exceptional items).

–          EBITDA for the quarter was 10.3% as against 10.9% in the same period last year

–          Sales volume in Medium and Heavy Commercial Vehicles (M&HCV) stood at 25285 units (23176)

 Results of the FY 2016-17 period ended 31st December 2016:

–          Revenue increased by 3% to Rs.14166 Cr, against Rs.13756 Cr, same period last year.

–          Net profit stood at Rs.771.07 Cr against Rs.530.41 Cr, same period last year. (after exceptional items)

Mr. Vinod K. Dasari, Managing Director and Chief Executive Officer, Ashok Leyland Limited, said “Q3 has been quite challenging, for the industry, primarily due to the steep increase in material cost. Demonetisation had an impact but the Industry is recovering from it. Despite these challenges we have maintained healthy operating margins. Pre-buy in Q4 owing to BS-IV implementation in FY 2017-18 along with our recent introductions in the ICV segment – Guru (Truck) & Sunshine (Bus) and LCV segment – Partner (Truck) and MiTR (Bus) expected to have a very positive impact on our volumes in the current quarter.”

Mr. Gopal Mahadevan, Chief Financial Officer, Ashok Leyland, added, “The prevailing challenges in the market notwithstanding, we continue to be focused on profitable growth. We have maintained double-digit EBIDTA despite absorbing the increased input costs. We hope to close this fiscal on a positive note.”

Hinduja Foundries has turned EBITDA positive in the recent months and we are hopeful of getting all necessary approvals by this year end.

Key achievements and announcements in Q3 FY 2016-17:

–          Ashok Leyland acquired 100% ownership in the three LCV JV’s

–          Ashok Leyland, Pantnagar was conferred the 2016 Deming Prize for the successful implementation of Total Quality Management

–          First Electric Bus – Made in India unveiled