Mahindra CIE Q2FY23 PAT up 2.97% at Rs171.37cr due to higher raw material costs and tax credit in base year

19 Oct 2022 , 08:13 PM

Mahindra CIE reported 30.25% growth in total sales revenues for the September 2022 quarter on consolidated basis at Rs2,723cr. Sequential revenues were up 0.59%.

The company saw growth in its automotive components and solutions business across India and Europe. The India business grew 33.4% at Rs1,543 crore for the quarter while the revenues from the Europe business grew by 20.2% at Rs1,192 crore.

Mahindra CIE has been a big beneficiary of the favourable recovery in auto sector in India and abroad.

Consolidated Profit after tax (PAT) for September 2022 quarter was up 2.97% at Rs171.37 crore while the profits were down -9.26% sequentially.

The profit growth was much lower than the sales growth due to a spike in the raw material costs in the quarter. But more importantly, the Q2FY22 quarter saw Rs292 crore reversal of tax, which enhanced the profit of the base year.

Net margins came in at 6.29% for Q2FY23 as compared to 7.96% in the year ago quarter and 6.98% in the sequential June 2022 quarter.

Financial highlights for Sep-22 compared yoy and sequentially

	Mahindra CIE
Rs in Crore	Sep-22	Sep-21	YOY	Jun-22	QOQ
Total Income (Rs cr)	₹ 2,723.15	₹ 2,090.69	30.25%	₹ 2,707.20	0.59%
Net Profit (Rs cr)	₹ 171.37	₹ 166.42	2.97%	₹ 188.85	-9.26%
Diluted EPS (Rs)	₹ 4.52	₹ 4.39		₹ 4.98
Net Margins	6.29%	7.96%		6.98%