Mumbai: Mahindra and Mahindra on Tuesday reported a sharp jump in profit for the September quarter as provisions narrowed and sales improved over the last year.
The company reported a standalone profit of Rs 1,432 crore for the three-month period, up 784% year-on-year. Revenue improved 15% on-year to Rs 13,305 crore. The company took a write-off of Rs 255 crore during the quarter compared to Rs 1,149 crore in the corresponding period last year.
High commodity prices, however, ate into the margins despite a 7-8% sales price increase. Earnings before interest, tax, depreciation and amortisation (EBITDA) declined 19% to ₹1,661 crore. EBITDA margin narrowed by 526 basis points to 12.5%. One basis point is 0.01%. The company gained after the earnings were announced, closing 3.92% higher at ₹892.9 on the BSE on Tuesday. The benchmark Sensex declined 0.19% on Tuesday.
