Wheels India shares surged over 8% in trade after the company reported a strong improvement in profitability for the December quarter, even as revenue remained under pressure due to subdued demand and pricing challenges across key segments.
For Q3, Wheels India posted consolidated revenue from operations of ₹1,124.86 crore, compared with ₹1,186 crore in the corresponding quarter last year. This marks a decline of around 5.1% on a year-on-year (YoY) basis, reflecting softer volumes and continued pricing pressure. Total income for the quarter also stayed lower YoY, mirroring challenging market conditions.
Despite the drop in revenue, the company delivered a sharp improvement in earnings. Profit before tax (PBT) rose to ₹48.53 crore in the December quarter, up from ₹33.42 crore a year ago. This translates into a robust 45.2% YoY growth, driven by operating efficiencies, tighter cost controls, and improved execution across businesses.
Net profit attributable to the group climbed to ₹36.89 crore in Q3, compared with ₹25.48 crore in the same period last year. The 44.8% YoY rise in consolidated net profit highlights a clear improvement in earnings quality, even in a weak revenue environment.
On the cost front, total consolidated expenses increased to ₹1,330.93 crore from ₹1,094.73 crore in the year-ago quarter, registering a rise of about 21.6% YoY.
