Updated - May 08, 2024 at 05:20 PM.| NEW DELHI
The company declared a final dividend of ₹40 per share and approved the setting up of a wholly-owned subsidiary in Brazil
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Niranjan Gupta, CEO of Hero MotoCorp
The .country’s largest two-wheeler manufacturer, Hero MotoCorp, on Wednesday has reported a consolidated net profit of ₹943.46 crore for the fourth quarter (Q4) ended March 31, up 16.36 per cent year-on-year (YoY) as compared with ₹810.80 crore in the corresponding period last year.
Consolidated revenue from operations also rose by 14 per cent YoY to ₹9,616.68 crore for the quarter in review as against ₹8,434.28 crore in the January-March quarter last year.
The company sold 13.92 lakh motorcycles and scooters during Q4 FY24 compared to 12.70 lakh units in Q4 FY23, the company said in a stock filing.
Final dividend
The company declared a final dividend of ₹40 per share (2,000 per cent). This dividend, together with interim and special dividend, marking the centennial year of Chairman Emeritus Brijmohan Lall Munjal, of ₹100 per equity share, takes the aggregate total dividend for the year 2023-24 to ₹140 per equity share, i.e. 7,000 per cent, it said.
The Board has also approved setting up a wholly-owned subsidiary in Brazil, Hero MotoCorp do Brasil Ltda, or any other name as may be approved by the authorities in Brazil.
For the full financial year, the company reported a consolidated net profit of ₹3,742.16 crore, up 33.65 per cent as compared with ₹2,799.90 crore in the previous financial year.
Consolidated revenue from operations also grew by 10.62 per cent to ₹37,788.62 crore during the last financial year, compared with ₹34,158.38 crore in FY23.
The company sold 56.21 lakh motorcycles and scooters during FY24 compared to 53.29 lakh units in FY23.
Milestone
“The financial year 2024 has been a remarkable period for Hero MotoCorp. During the year, our focus on product launches, network upgrade and customer satisfaction drove us to new heights. From the highest number of product launches, to the expansion of new format retail outlets and upgrade at super speed, to a digital‐first approach in premium, we set the building blocks in place for accelerated growth in future,” Niranjan Gupta, Chief Executive Officer, Hero MotoCorp, said.
The company’s fiscal prudence and strategic actions ensured that its financial performance has been robust, resulting in the highest-ever annual revenue and profits, he said.
“Moving forward, we expect the macro‐economic factors to aid the industry’s growth. With commodity prices remaining stable, expectations of normal monsoons, and government spending expected to increase, we see multiple tailwinds for the sector over the upcoming quarters,” Gupta said.
He said the company will be driving market share gains on the back of new launches in the premium and 125 cc segments done in FY 24.
“Further, we are going to boost scooter portfolio by launching Xoom 125 cc and Xoom 160 cc in first half of the fiscal. Coming year will see us taking big strides in EV, through product launches in mid and affordable segment. Overall, we see a very positive outlook for upcoming years,” Gupta added.
Shares of Hero MotoCorp closed at ₹4,624.35 apiece on the BSE on Wednesday, up 3.26 per cent from the previous close.
