Maruti Suzuki Q2 profit drops 26% as revenue climbs 26% and sales hit record

Maruti Suzuki India reported a 26% year-on-year fall in consolidated net profit to Rs 2,466 crore for the July-September quarter of FY27, compared with Rs 3,349 crore a year earlier. Revenue from operations grew around 26% YoY to Rs 53,356 crore.

Total expenses increased nearly 30% YoY to Rs 50,619 crore, driven by a 48% rise in material costs and a 14.5% increase in employee costs. Operating profit (EBIT) slipped to Rs 2,804 crore from Rs 3,382 crore, which the company attributed to higher commodity prices linked to the West Asia conflict. > "However, non-operating income declined sharply in Q2 owing to mark-to-market losses on invested surplus," the press release said.

Despite the profit dip, Maruti Suzuki achieved its highest quarterly sales volume ever, delivering 6.97 lakh units, a 26.5% increase YoY. Small-car sales rose nearly 40% and SUV sales more than 68%, lifting domestic market share by 2.2 percentage points to 40.8%. > "Even with enhanced production capacity, demand continued to outpace supply, resulting in a low network inventory of about 17 days and pending bookings of about 200,000 units at the end of the quarter," the company noted.

Export sales fell slightly to 108,119 units, but net sales in export markets reached a record Rs 50,616 crore. Maruti Suzuki shares closed about 2% higher at Rs 11,450, though the stock has declined over the past month and year-to-date.

The results were released in a press statement; the article includes standard disclaimer language unrelated to the financial data.