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Royal Enfield parent Eicher Motors Ltd. reported its September quarter earnings on Wednesday, November 13, which missed CNBC-TV18's estimates across all parameters.
The company's net profit for the quarter rose 8% year-on-year to ₹1,100 crore. Eicher Motors had reported a net profit of ₹1,016 crore last year. The profit figure was below the CNBC-TV18 poll estimate of ₹1,115 crore.
Revenue for the second quarter increased by 3.6% to ₹4,263 crore, which was below expectations of ₹4,452 crore.
Eicher Motors' Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter stood at ₹1,087.7 crore, which is flat from last year's figure of ₹1,087 crore and still below the estimates of ₹1,185 crore.
EBITDA margin for the quarter stood at 25.5% from 26.4% during the same period last year, and below the estimates of 29%.
During the quarter, Royal Enfield recorded sales of 2.25 lakh motorcycles as compared to 2.29 lakh motorcycles sold during the same period in FY24.
For Q2 of FY25, VECV’s revenue from operations was at ₹5,538 crore, up by 8% over the previous year’s revenue of ₹5,126 crore.
Siddhartha Lal, Managing Director, Eicher Motors said, "During this quarter, we have continued to sustain the momentum both at Royal Enfield and VECV. At EICMA, earlier this month, we launched two motorcycles on our 650 Twin platform; the Bear 650, and the Classic 650. In addition to this, Royal Enfield marked its foray into electric mobility with a new EV brand - the Flying Flea."
"With an intent to disrupt and grow the electric motorcycle segment, we are approaching it with the same singularity, focus and unconventionality with which we have grown and energized the global mid-size segment over the last several years. Under the Flying Flea we will have a portfolio of differentiated electric motorcycles for city+ mobility," Lal said.
On the commercial vehicle front, he said that VE Commercial Vehicles delivered its best Q2 ever, with strengthened market shares in truck segments. "This is commendable against the backdrop of lower industry volumes as compared to Q2 of last year."
Shares of Eicher Motors Ltd. settled 2.94% lower on Wednesday at ₹4,598.80. The stock is down 10% from its recent peak of ₹5,105.
