Ashok Leyland Q4 results: Net profit falls 17% but meets analysts estimates; board recommends Rs 2.6/share dividend
Ashok Leyland Q4 results: Hinduja group flagship Ashok Leyland reported a standalone net profit of Rs 751.4 crore for the quarter ended March, a fall of 16.6 per cent compared with the corresponding period a year ago. The auto majors net profit met analysts estimates.
Ashok Leyland Q4 results, Ashok Leyland dividend news 2023: Ashok Leyland — the Hinduja group flagship — on Tuesday reported a standalone net profit of Rs
751.4 crore for the quarter ended March, a fall of 16.6 per cent compared with the corresponding period a year ago owing to a high base. The commercial vehicle maker's net profit, however, met analysts' estimates.
The auto major's revenue came in at Rs 11,625.7 crore for the three-month period, as against Rs 8,744.3 crore for the quarter ended March 2022, according to a regulatory filing.
According to Zee Business research, Ashok Leyland's quarterly net profit was estimated at Rs 670 crore and revenue at Rs 11,760 crore.
The company's EBITDA margin improved by 210 basis points on a year-on-year basis to 11 per cent, as against the analysts' estimate of 10.1 per cent.
"It has been a truly wholesome performance. We have been able to achieve growth in market share, across geographies and across product segments, along with significant improvement in our profitability. All this demonstrates our strong fundamentals — competitive and wide product portfolio, strong and widespread network and a talented and passionate team," said Shenu Agarwal, Managing Director and CEO, Ashok Leyland.
"While we shall continue to pursue better realisations even as we expand market share, our resolute focus shall remain on bringing deeper efficiency and cost improvement," he added.
The company's net profit of Rs 901.4 crore for the quarter ended March 2022 was boosted by an exceptional gain of Rs 470 crore.
Ashok Leyland dividend
Ashok Leyland's board recommended a dividend of Rs 2.6 per share — a 260 per cent payout given the face value of Re 1 per share, according to the filing.
The dividend is subject to approval of shareholders at the company's 74th AGM, scheduled on Friday, July 21.
When will the dividend be paid?
The dividend will be paid on or before August 19, 2023, the company said.
Ashok Leyland shares
The Ashok Leyland stock ended 0.7 per cent lower at Rs 152.2 apiece on BSE ahead of the earnings announcement. Ashok Leyland shares finished the January-March period with a loss of 2.9 per cent as against a 4.1 per cent drop in the headline index.
As of May 23, the stock has risen 6.2 per cent for the year, better than a 1.3 per cent rise in the 50-scrip benchmark index Nifty.
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