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Hero MotoCorp, India’s largest two-wheeler manufacturer, reported a 36 percent increase in standalone net profit for the first quarter of FY25, reaching Rs 1,122.63 crore. This marks a noteworthyt rise from Rs 824.72 crore in the same quarter the previous year. Despite this robust growth, the company’s results fell short of analyst expectations.
The company’s revenue for the quarter surged by 16 percent to Rs 10,144 crore, surpassing the Rs 8,767 crore recorded in the same period last year. This achievement represents the first time Hero MotoCorp’s revenue from operations has exceeded Rs 10,000 crore.
In consolidated terms, Hero MotoCorp’s revenue and profit after tax (PAT) were reported at Rs 10,211 crore and Rs 1,032 crore, respectively. The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) rose by 21 percent to Rs 1,460 crore, while its operating margin improved by 60 basis points to 14.4 percent.
The automaker highlighted positive trends across its domestic, electric vehicle (EV), and global markets. The company noted a sequential improvement in retail sales and expressed optimism for the upcoming quarters due to favorable customer sentiments, good monsoons, and the forthcoming festive season. Hero MotoCorp plans to introduce new products in both internal combustion engine (ICE) and EV categories.
Niranjan Gupta, CEO of Hero MotoCorp, commented on the results, stating that the new Xtreme 125 cc model has helped the company regain market share in the 125-cc segment, while maintaining a dominant presence in the 100/110 cc segment. Gupta also outlined plans to enhance the premium segment and expand the EV portfolio with more affordable options.
On August 13, Hero MotoCorp’s shares ended the day down by 1.55 percent, closing at Rs 5,229.55.