Maruti Suzuki's board approved capacity addition plan of up to 10 lakh vehicles per year. This capacity addition will happen on top of existing capacity to manufacture 13 lakh units at its plants in Manesar and Gurugram
The country's largest car maker - Maruti Suzuki - on Wednesday reported consolidated net profit of Rs 2,670.8 crore in March quarter, marking an increase of 42 per cent from net profit of Rs 1,875.8 crore during the same period last year. Its revenue from operations rose 20 per cent annually to Rs 32,059.60 crore versus Rs 26,749.20 crore during the year ago period.
In a major development, Maruti Suzuki's board approved capacity addition plan of up to 10 lakh vehicles per year. This capacity addition will happen on top of existing capacity to manufacture 13 lakh units at its plants in Manesar and Gurugram.
The company said that rationale behind capacity addition is to cater growth in market demand and the capacity addition plan will be funded via internal accruals.
For financial year 2022-23, Maruti Suzuki's net profit more than doubled to Rs 8,211 crore compared with Rs 3,879 crore during the previous financial year.
“The Company sold a total of 1,966,164 vehicles during the year despite missing production of about 170,000 units due to shortage of electronic components. This translated to a growth of 19 per cent over FY2021-22 sales volume of 1,652,653 vehicles. Sales volume in the year comprised 1,706,831 units in the domestic market and highest-ever exports of 259,333 units,” Maruti Suzuki said in a press release.
The board of directors recommended highest-ever dividend of Rs 90 per share (face value of Rs 5 per share) compared to Rs 60 per share in FY 2021-22.
For the quarter ended March 2023, the sales in the domestic market stood at 450,208 units, up by 7.1 per cent over that in Q4FY22. The sales in the export market were at 64,719 units as compared to 68,454 units in Q4FY22.
Maruti Suzuki shares ended 0.3 per cent higher at Rs 8,503 after announcing its March quarter earnings.