Q4FY22 Preview: Maruti Suzuki: Revenues seen at Rs264,174 million, PAT at Rs14,336 million

28 Apr 2022 , 11:11 AM

Result date: 29^th April, 2022
Recommendation: Buy
Target price: Rs9,500
 
Easing of semi-conductor shortage will support the company’s performance in the March 2022 quarter. Its sales volumes grew 13.6% sequentially and the company had also implemented price hikes in January 2022. Consequently, its revenue is likely to grow 13.6% sequentially and 10% over the year-ago quarter.

Healthy revenue growth coupled with price hikes would rub off favorably on its EBITDA margin, which could witness expansion of 157 basis points sequentially to 8.3%.

Strong operating performance will fuel a 41.8% sequential growth in the company’s Profit After Tax.

Important management insights to watch out for:
·         Outlook on demand across all segments and markets
·         Trends in input cost inflation, pricing action planned and margins
 

Rs Million	March 2022 estimates	YoY change	QoQ change
Revenue	264,174	10.0%	13.6%
EBITDA	21,869	9.8%	40.3%
Profit After Tax	14,336	22.9%	41.8%

Source: IIFL Research