Maruti Suzuki India’s Profits Drop By 65% In Q2, FY22
Maruti Suzuki’s revenue has slumped beyond expert anticipations!
Maruti Suzuki records a significant decline in profits in the financial year 2022. One of the most accepted carmakers in the country, Maruti Suzuki India Limited (MSIL) reported profits of Rs 475 crores in Q2 FY22. This is a 65.7% YoY decline, over the previous year’s Rs 1419.6 crores.
3,79,541 Maruti cars were sold in Q2, breaking to 320,133 domestic sales and 59,408 exports. If you would recall, Maruti Suzuki had sold 3.93 lakh units in Q2, FY21- 370,619 domestic sales and 22,511 exports. As obvious, the exports have had a significant YoY growth of 62%. This year’s Q2 exports have been the highest till date, as per the manufacturer.
The actual Q2 numbers have, however, deviated sharply from previous expert anticipations. Industry experts and analysts had previously predicted profit drops of up to 30% for MSIL. The actual number however has been almost double this number, marking a drastic dismissal of previous predictions. Experts are quoting the decline in operating profits as the key reason for this.
The prevailing electronics shortage is giving Maruti Suzuki significantly tough times. MSIL reveals that around 116,000 vehicles could not be manufactured due to this alone. Q2 closed with over 2 lakh pending deliveries as well.