Mumbai: Ashok Leyland Ltd, India’s third-largest commercial vehicle brand, has declared a record Rs.1,246 crore net profit for Q4 FY25, a 38% YoY surge from Rs.900 crore in the same quarter last year. The company has been working towards improving its operating performance, with an overall commercial vehicle production volume of 1,95,093 units, with export volumes increasing 29% to 15,255 units for FY 2024-25.
The Chennai-based company reported revenues from operations at Rs.11,906 crore, slightly below analysts’ expectations of Rs.12,196 crore. This has been the company’s best-ever financial performance so far, even as it has managed to pare its net debt of Rs.89 crore.
The company’s electric vehicle arm, Switch Mobility, reached the EBITDA break even for the financial year with a double-digit margin. Ashok Leyland’s board has approved a 1:1 bonus share issue for FY 25, following the two interim dividends totalling Rs.6.25 per share paid during the year.
“Achieving these record-breaking numbers is a matter of immense pride for us. It reflects the resilience of our business and the trust our customers place in us. Given Company’s strong financial performance in the last three years, the Board of Directors has approved a 1:1 bonus share issue. This is on the back of two interim dividends announced for FY25 amounting to 625%, or Rs. 6.25 per share. With our unwavering focus on innovation and customer satisfaction, and thrust in international operations, we are well-positioned for sustained and profitable growth.” ,Mr. Dheeraj Hinduja, Chairman, Ashok Leyland Limited, said in a press release.
Mr. Shenu Agarwal, Managing Director and CEO, Ashok Leyland added “FY25 has been another landmark year for us. We’ve set new records in revenue, EBITDA, and profitability. Our margin expansion and robust cash generation reflect the strength of our operations. It also gives us immense satisfaction to achieve our medium-term goal of mid-teen EBITDA in Q4. The company is in a very strong cash position, ending the year with a cash surplus of Rs. 4,242 Cr. This gives us more fuel to further augment our strengths in products and technology, and to offer best-in-class customer experience. We are continuing on our premiumization journey with high focus on delivering exceptional value to our customers. We are now more confident than ever in our ability to gain market share and further improve our price realization.”
Ashok Leyland’s shares closed at 238.26 on Friday, May 23. The stock has surged 26% from its 52-week low of Rs.191.86 per share.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
