Maruti Suzuki India (MARUTI) Q2 24/25 earnings summary

Executive summary

• Achieved cumulative production of one crore units at Manesar, fastest among Suzuki's global plants in 18 years.

• Inaugurated 500th Nexa outlet, now serving over 2.7 million customers in 300+ cities.

• Standalone and consolidated unaudited financial results for the quarter and half year ended September 30, 2024, were approved and reviewed without qualification by auditors.

• Net sales for Q2 FY25 rose 0.2% year-over-year to INR 355,891 million, with sales volume down 1.9%.

• PAT declined 17.4% year-over-year due to a one-time deferred tax liability provision of INR 8,376 million from Finance Act 2024 changes.

Financial highlights

• Q2 net sales: INR 355,891 million, nearly flat year-over-year; Q2 profit before tax: INR 51,005 million, up 6.3% year-over-year, highest ever.

• Standalone revenue from operations for Q2 FY25 was ₹372,028 million, up from ₹355,314 million in Q1 FY25 and ₹355,351 million in Q2 FY24.

• Standalone net profit for Q2 FY25 was ₹30,692 million, compared to ₹37,165 million in Q2 FY24, impacted by deferred tax provision.

• H1 net sales: INR 694,644 million, highest ever, up from INR 663,803 million last year; H1 net profit: INR 67,191 million, up from INR 62,016 million year-over-year.

• Q2 FY25 operating EBIT margin declined to 10.3%; material cost as % of net sales increased to 74.9%.

Outlook and guidance

• Retail sales for April–October expected to grow 3.9% year-over-year; full-year retail sales growth projected at 3–4%.

• Festive period (Shradh to Diwali) retail sales up 14% year-over-year.

• CNG and hybrid vehicle demand expected to remain strong; EV launch planned for January.

• Management highlights cost reduction, favorable forex, and operating leverage as positives.

• The Board granted in-principle approval for the amalgamation of Suzuki Motor Gujarat Private Limited (SMG) into the company.