• Revenue: INR13,000 crores, a growth of 22% year-on-year.

• EBITDA: INR2,653 crores, growing at 24% with a margin of 20.2%.

• Profit After Tax (PAT): INR2,216 crores before exceptional items, a 21% year-on-year growth.

• Exceptional Item Impact: One-time deferred tax provision of INR211 crores due to changes in tax regulations.

• Domestic Revenue: Significant contribution from electric and CNG vehicles, comprising 44% of domestic revenue.

• Export Revenue: Approximately $415 million, with strong performance in LATAM markets.

• Electric Vehicle Sales: 70,000 units in the quarter, up from 40,000 in the previous quarter.

• Commercial Vehicle Sales: Highest ever volume of 140,000 units, including 16,000 E-autos.

• Cash Flow: Over INR2,000 crores of free cash flow added, with surplus cash at INR16,400 crores.

• Investment: INR1,200 crores in the first half, primarily for electric vehicles and auto credit.

• Consolidated PAT: Nearly INR1,400 crores, impacted by share of losses from Pierer Mobility.

Release Date: October 16, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Bajaj Auto Ltd (BOM:532977) reported record revenues of INR13,000 crores, a 22% growth driven by domestic exports and spare part sales.

• The company achieved a record EBITDA of INR2,653 crores, growing at 24% and maintaining a 20% EBITDA margin for the fourth consecutive quarter.

• The green energy portfolio, including electric and CNG vehicles, now constitutes 44% of domestic revenue, showcasing strong growth in sustainable segments.

• The LATAM region led export growth with a 20% year-on-year increase, consolidating leadership in key markets like Mexico.

• The domestic motorcycle business maintained a strong position in the 125 CC plus segment, with a market share of 25%, just 2% short of leadership.

Negative Points

• Africa continues to decline across major markets, with a 9% decrease, impacting overall export performance.

• The company faced a one-time exceptional deferred tax provision of INR211 crores due to changes in tax regulations, affecting profit after tax.

• The consolidated profit was impacted by a significant loss from the associate Pierer Mobility, amounting to INR580 crores.

• The festive season demand was muted, with the motorcycle industry showing only 1% to 2% growth, below expectations.

• The electric vehicle segment, while growing, is still margin dilutive, impacting overall profitability.

Q & A Highlights

Q: What is the current status and future outlook for the CNG network in India, particularly concerning the Freedom 125 motorcycle? A: Rakesh Sharma, Executive Director, explained that the wait period for refueling at CNG pumps is minimal, often just minutes or seconds. The strong support from gas distribution companies has facilitated this. As the scale of operations increases, more dispensing stations are expected to be added to maintain efficiency.