Last Updated on January 25, 2024 by ethinos
On January 24, 2024, Bajaj Auto Limited (BSE, NSE: BAJAJ-AUTO) announced its Q3 2023-24 results, with the Company’s Domestic business surging on multiple fronts, driving Revenue, PAT, and EBITDA to all-time highs.
Table of Content
Bajaj Auto: Result Takeaways
India’s prominent maker of two and three-wheelers has reported a Q3 result marked with success and figures firing on all fronts as there has been a major Revenue increase and Profit is high. Here are the overall highlights of the Company’s Q3 results:
- For Q3 FY24, the Company’s Revenue from Operations scaled new heights and reached ₹12,114 Cr, growing to a solid 30% YoY. The peak in Revenue was driven by strong Domestic business growth that was accelerated by skillful Company execution and the demand in the festive period. The rise in Revenue compensated for the relatively muted Export side of the business due to challenges in markets abroad in Q3 FY24.
- The quarterly EBITDA was at the Company’s highest-ever level at ₹2,430 Cr, a rise of 37% YoY, while the PAT or Profit after Tax beat the ₹2,000 Cr milestone. The Company’s Margin stepped up to 20.1%, a rise of more than 100 bps YoY, led by optimal realisations, operating leverage, and dynamic management of costs.
Additional Read: Q3 Results Dashboard
A Successful Business Run
Here are some key highlights of the Company’s business operations in Q3 FY24:
- The Domestic part of the business delivered a strong quarter marked by volume-led growth in Revenue, of nearly 50% YoY.
- Across all segments of the Company, there was broad-based double-digit YoY growth boosted by the solid performance (beating the market) in the segment of motorcycles. Commercial vehicles had a steady growth momentum and the stable ramp-up of the 2 and 3-wheeler EV portfolio also bolstered overall growth.
- While overseas markets remain challenging, the Company has navigated itself well with exports close to double-digit Revenue growth on a YoY basis, led by a good mix and dollar realisation.
- While the overall market share remains steady, enhanced by decisive actions, Q3 FY24 witnessed a slight rise in billing volumes. There was an uptick in LA TAM, Asia, and exports of premium bikes, making up for the lag from the African market (especially Nigeria).
- The segment of Domestic motorcycles has maintained its healthy run as it grew twice that of the entire market.
- At its highest quarterly volume of 400K units, the Pulsar brand leads growth in the 125 cc segment, beating the rest of the industry by 6 times.
- The Company witnessed continued growth in the Commercial vehicle segment with a volume of more than 40 units per month sold.
- In Q3 FY24, the Chetak portfolio was healthy, with the new Premium and Urbane scooters in demand.
A Sound Balance Sheet
In Q3 FY24, the Company enjoyed a healthy Balance Sheet, with surplus cash at ₹18,439 Cr at the close of the quarter. This is due to consistent and continued free cash flow.
Financial Results at a Glance
Here is a glimpse of the standalone financial results of Q3 (figures in ₹ Cr as reported by the Company, except where indicated by %):
| Metrics | Q2 FY 2023-24 | Change | Q3 FY 2023-24 | Q3 FY 2022-23 | Change |
| Turnover | 11,139 | 12% | 12,460 | 9,584 | 30% |
| Revenue from Operations | 10,777 | 12% | 12,114 | 9,315 | 30% |
| EBITDA | 2,133 | 14% | 2,430 | 1,777 | 37% |
| EBITDA % | 19.8% | +30 bps | 20.1% | 19.1% | +100 bps |
| Profit Before Tax | 2,400 | 11% | 2,676 | 1,964 | 36% |
| Profit After Tax (PAT) | 1,836 | 11% | 2,042 | 1,491 | 37% |
Additional Check: Bajaj Auto Share Price
Bajaj Auto: Q3 FY24 Result Summary
One of the most loved brands, especially in the Indian automobile segment, Bajaj Auto, part of the Bajaj Group of companies, is an organisation to be reckoned with. The Company has, to its credit, sold over 18 million motorcycles in more than 70 countries around the world, and is popularly known as “The World’s Favourite Indian”. It is today, the top two and three-wheeler manufacturer in India and the leading motorcycle exporter with 2 out of 3 bikes sold globally. The company is also the largest manufacturer of three-wheelers, globally. Bajaj Auto stands out as the first two-wheeler and three-wheeler manufacturer, in the world, to have reached an INR 1 trillion market capitalisation.
The Company is on an endless growth path, leading in motorcycle and three-wheeler manufacturing, and now it also produces quadricycles. From the heart of Mumbai to Mexico and Bengaluru to Bogota, the brand Bajaj has set its own pace for success and is meeting every challenge with ease.
From motorcycles to three-wheelers and now quadricycles, from Mumbai to Mexico City and Bogota to Bengaluru, there’s a Bajaj for everyone. With Q3 results beating market predictions and Net Profit jumping on a YoY basis, the Company is all set for a successful period in the future. The Company has released its highest-ever EBITDA for any quarter so far, besides posting improvement in margins. Strong growth in Revenue, as always for the Company, was led by solid traction in the domestic business with two-wheeler volumes on the rise.
Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.
This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.
For Research Disclaimers Click Here: https://bit.ly/3Tcsfuc
Source: Bajaj Auto Press Release on BSE
