Shares of Hyundai Motor India Ltd (HMIL) dropped close to 5% after the company reported a 16% year-on-year decline in consolidated net profit to ₹1,375 crore for Q2 FY25, citing reduced domestic sales, geopolitical challenges, and lower exports. This is the company’s first earnings report since its stock market debut.
In the same period last year, HMIL posted a net profit of ₹1,628 crore. Additionally, the company’s consolidated revenue from operations for the quarter fell by 7.5% to ₹17,260 crore, compared to ₹18,660 crore in Q2 FY24.
HMIL’s Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) was recorded at ₹2,205 crore, marking a 10% decrease from ₹2,440 crore in the year-ago quarter. Operating margins also narrowed by 30 basis points, landing at 12.8%, down from 13.1% last year.
Despite challenging market conditions, Managing Director Unsoo Kim noted that Hyundai managed to sustain profitability through proactive cost control. He also revealed plans to launch the Creta EV soon, anticipating it will drive growth in the EV market.
As of 11:07 AM, Hyundai Motor India shares were trading 4.63% lower at ₹1,720.50 on the NSE.
