On the back of 'satisfying' first-quarter results, TVS Motors’ shares grew nearly 8 per cent to Rs 605 per share on the BSE intraday trade on Thursday. The company had posted highest ever quarterly revenue in international business in the June-ended quarter of the financial year 2021-22 (Q1FY22).

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The two-wheeler manufacturer reported standalone Profit After Tax (PAT) of Rs 53 crore in Q1FY22 as against loss of Rs 139 crore during the same period a year ago. While the revenue stood at Rs 3,934 cr in Q1 FY22 versus Rs 1,432 cr in the corresponding quarter last financial year.

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The overall two-wheeler and three-wheeler sales, including exports registered 6.58 lakh units in the quarter ended June 2021, against 2.67 lakh units year-on-year, TVS Motors said in exchange filing.

In this regard, Jefferies maintains its positive stance on TVS Motor with company turning aggressive on EVs (electric vehicles). The brokerage says, margins would expand sequentially as exports are holding up well and sets the price target of Rs 800 per share.

While Citi has a Sell rating on TVS Motor and cuts the price target to Rs 530 per share, on the back of higher capital costs, which resulted in a PAT miss. However, the company’s pricing and gross margin trends have been commendable.

The stock at around 11:55 am, was trading at almost 6 per cent higher, near day’s high level, to Rs 595 per share on the BSE, as against 0.18 per cent rise in the S&P BSE Sensex. The stock on May 27, 2021, had touched its 52-week high of Rs 665.7 per share.

Impacted by the covid second wave in Q1, the company said, “With the gradual opening of markets, the company is optimistic about the domestic and international demand coming back to normalcy.” It incurred Rs 30 crore towards COVID-19 related expenses as an exceptional item.