Maruti Suzuki has announced its financial results for the second quarter, showing a sharp decline in profitability despite strong revenue growth. The company’s net profit fell 26.9% to ₹2,415 crore compared with ₹3,303 crore in the same quarter last year. This drop highlights the impact of rising costs and margin pressures on the automaker’s bottom line.
On the positive side, revenue grew 26% year-on-year to ₹53,340 crore, up from ₹42,332 crore, reflecting robust demand and higher sales volumes. However, operating performance was weaker. EBITDA slipped 6.3% to ₹4,763 crore against ₹5,085 crore last year, indicating increased expenses and cost challenges.
Margins also narrowed significantly, with EBITDA margin falling to 9% from 12% a year earlier. This decline underscores the strain of higher input costs, competitive pricing pressures, and possibly adverse currency movements.
The results suggest that while Maruti Suzuki continues to benefit from strong demand and revenue expansion, profitability remains under stress. Investors and analysts will closely watch how the company manages costs and sustains margins in the coming quarters. The balance between sales growth and profitability will be crucial for Maruti’s performance in the evolving market environment, especially amid rising competition and fluctuating economic conditions.