Hero Motocorp Q1 results: Net profit surges 36% YoY to ₹1,123 crore, revenue up 16%

Hero MotoCorp, on Tuesday, announced a standalone net profit of ₹1,123 crore for the quarter ending June 30, 2024, marking a 36% increase from the ₹825 crore reported in the same period last year.

The company's revenue from operations for the quarter was ₹10,144 crore, up 16 per cent from ₹8,767 crore in the corresponding quarter of the previous fiscal year.

Meanwhile, the EBITDA margin increased compared to the previous year, reaching 14.4 per cent.

In its filing to the exchanges, the two-wheeler company said it clocked its highest-ever PAT after accounting for exceptional items.

“We continue to be on the profitable growth journey, crossing ₹10,000 crore revenue for the first time ever, accompanied by highest ever underlying PAT. As we surge forward, we are investing behind long term capability building to ensure sustained delivery of growth in future," said Niranjan Gupta, Chief Executive Officer (CEO), Hero MotoCorp.

On the other hand, the consolidated revenue and profit after tax (PAT) for the quarter were ₹10,211 crore and ₹1,032 crore, respectively.

Hero MotoCorp experienced positive trends across its domestic, electric vehicle (EV), and global segments during the quarter. The company also saw a sequential increase in retail sales, as reflected in VAHAN data.

The company anticipates this momentum to continue in the coming quarters, driven by positive customer sentiment, favorable monsoon conditions, and the approaching festive season. Additionally, the company has a range of new product launches planned for both internal combustion engine (ICE) and EV categories.

“We are seeing a sharp recovery in market share in 125 cc segment charged by the new model Xtreme 125 cc, while we continue to maintain formidable market share in entry and deluxe 100/110 cc segment of over 70% powered by our brands like Splendor, Passion, and HF deluxe. Our focus moving forward will be, building our brands in premium segment on the back of launches done in last few quarters, to win in this segment. We will be launching new models in scooters as well in next 2 qtrs., to re‐energise this portfolio,” Gupta further added.