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TVS Motor Q2 revenues up by 23.2%

TVS Motor Company has reported a 23.2% increase in its revenues for the July-September quarter, FY2008-09, at Rs 1,034 crore, compared to Rs 839 crore in the corresponding quarter of the previous year.

Despite increasing input costs, the lack of availability of retail finance and a general downturn in the economic scenario, TVS posted profit before tax of Rs 13.9 crore and profit after tax of Rs 10.4 crore, compared to Rs 16.9 crore and Rs 11.9 crore in Q2, FY2007-08 (which had the benefit of Rs 10.2 crore (net) on account of exceptional items.)

TVS also recorded a growth in its two-wheeler sales, with 181,000 bikes being sold in Q2, compared with 144,000 units sold in Q2 last year. TVS scooters clocked sales of 77,000 units, compared to 76,000 units sold in the corresponding period last year. The company reached a significant milestone in July this year, when it reached the two-million mark in the sales of the TVS Scooty.

TVS exported 55,000 two-wheelers in Q2, an increase of more than 50% over the corresponding period last year. The company now exports its two-wheelers to more than 54 countries worldwide.

[Via: indiaautomotive]

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TVS Motor scales down investment plans

India’s third-largest two-wheeler manufacturer, TVS Motor Company Ltd. is scaling down its investment plans in India, owing to weaker demand and tight availability of consumer finance.

TVS, which was earlier planning to invest about Rs 1 billion per annum on expansion, will now only invest about Rs 750 million per year for the next two years. ‘We have seen low growth and will only invest for new models and R&D projects now,’ said Venu Srinivasan, Chairman and Managing Director, TVS Motor. ‘There is no significant investment in capacity. Given the turbulent conditions, we would trim our investments,’ he added.

TVS Motor had recorded a 19 percent increase in total two-wheeler sales in September this year, but the company expects growth to slow down in the near future, primarily due to lack of availability of finance. ‘We don’t expect improvements till the end of 2009, as the global economy is slowing down. The crisis in the west is affecting us here, nobody is really willing to lend,’ said Srinivasan.

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Bajaj Auto Q2 net drops 22.50%

India`s second largest two-wheeler maker - Bajaj Auto - on Thursday announced a 22.50% decline in its standalone net profit for the quarter ended September 2008. During the quarter, the profit of the company fell to Rs 1,849.10 million from Rs 2,386 million in the same quarter, last year.

Total income for the quarter climbed 7.65% to Rs 25,705.30 million from Rs 23,877.70 million in the prior year period. Earnings per share stood at Rs 12.80 for the quarter ended September 2008. Shares of the company declined Rs 10.8, or 2%, to trade at Rs 530. The total volume of shares traded was 3,353 at the BSE.

[Via: myiris]

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