New Delhi: Country's largest two-wheeler maker Hero MotoCorp on Thursday reported 58.62 percent increase in its net profit at Rs 763 crore for the second quarter ended September 30 riding high on robust sales.
The company had posted a net profit of Rs 481 crore during the same period of previous fiscal.
Turnover of the company rose 20.76 percent to Rs 6,915 crore for the second quarter, as against Rs 5,726 crore during the same period of previous financial year, Hero MotoCorp said in a statement.
In terms of volumes, the company's total sales during the quarter stood at 16,92,593 units, up 19.5 percent from 141627 units sold in the same period of previous fiscal.
Commenting on the results, Hero MotoCorp Vice Chairman and Managing Director Munjal said: "...A concerted focus on costs has enabled us to have good margins even as we continue to keep strengthening our market leadership."
"These numbers bode well for the festive season and we are looking at leveraging this momentum to ensure record retail sales in the month of October," Munjal added.
Munjal said that with the new stable government at the Centre, the sentiment in the entire country has turned positive.
"The rupee depreciation, which had adversely impacted several sectors, and pulled up the costs of essential commodities, has also more or less stabilised. We will continue to be innovative in tackling any extraneous pressures to protect our margins," he added.
Hero MotoCorp shares today closed at Rs 2,791.85 apiece on the BSE, down 2.27 percent from their previous close.
Hero MotoCorp said it launched operations in Colombia in July by forming a wholly-owned subsidiary ? 'HMCL Colombia SAS'.
The company said it has commenced construction of a plant at Villa Rica, Cauca; to be operational by mid-2015 with capacity of 78,000 units, that will go up to 1.5 lakh units in second phase, it added.
The two-wheeler maker also made an equity investment through its wholly-owned subsidiary in Netherlands during the quarter.
