Ashok Leyland reports 71% jump in net profit; shares soars

Commercial Vehicle major Ashok Leyland on Tuesday announced its financial results for the quarter ended on September 30. The company reported a net profit of Rs 294.4 crore during the quarter, a robust growth of 71% as compared to Rs 172.2 crore during the same period last year.

Following the announcement of the results, the shares of the company surged over 2%. At 1355 hours the shares of the company were trading at Rs 91.65 per piece, up 2.23%, or Rs 2 on BSE.

However, the total income of the company decreased from Rs 5319.8 crore in Q2FY16 to Rs 4943.2 crore in Q2FY17. The total expenses of the company dropped to Rs 4,501 crore in the September quarter this year as against Rs 4,773 crore in the September quarter last year.

Last week, the company had said that it has registered 28% rise in the sales during the month of October to 12,533 units as against 9,803 units sold last year in October. The rise in sales were driven by medium and heavy commercial vehicle segment, the company said.