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Maruti Suzuki — Q1 FY25
Maruti Suzuki reported a strong Q1 FY25 with net sales of ₹33,875 crore (+9.8% YoY) and net profit of ₹3,650 crore (+46.9% YoY), driven by cost reduction, favorable commodity prices, and forex gains.
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Maruti Suzuki reported a strong Q1 FY25 with net sales of ₹33,875 crore (+9.8% YoY) and net profit of ₹3,650 crore (+46.9% YoY), driven by cost reduction, favorable commodity prices, and forex gains. Total volumes grew 4.8% YoY to 521,868 units, with exports up 11.6% to 70,560 units. CNG penetration reached a record 33% of domestic sales. Management noted muted domestic demand due to heat waves and elections but remains optimistic about festive season recovery. Capacity utilization is ~85%, and inventory stands at 37 days. Risks include potential commodity price increases and yen appreciation impacting margins. Guidance for export volumes of 300,000 units for FY25 remains intact.
मारुति सुजुकी ने पहली तिमाही (अप्रैल-जून 2024) में अच्छा प्रदर्शन किया। कंपनी की कुल बिक्री ₹33,875 करोड़ रही, जो पिछले साल से 9.8% ज़्यादा है। मुनाफा ₹3,650 करोड़ हुआ, जो 46.9% बढ़ा। यह बढ़त लागत कम होने, कच्चे माल के सस्ते दाम और विदेशी मुद्रा लाभ से आई। कुल गाड़ियों की बिक्री 5,21,868 यूनिट रही, जो 4.8% ज़्यादा है। निर्यात 11.6% बढ़कर 70,560 यूनिट हुआ। सीएनजी गाड़ियों की हिस्सेदारी 33% तक पहुँच गई, जो अब तक सबसे ज़्यादा है। कंपनी ने कहा कि गर्मी और चुनावों की वजह से देश में माँग कम रही, लेकिन त्योहारी सीज़न में सुधार की उम्मीद है। फिलहाल कारखाने 85% क्षमता से चल रहे हैं और डीलरों के पास 37 दिनों का स्टॉक है। आगे कच्चे माल के दाम बढ़ने और येन के मजबूत होने से मुनाफा प्रभावित हो सकता है। पूरे साल 3 लाख गाड़ियों के निर्यात का लक्ष्य बरकरार है।
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Total vehicle sales
521,868 units
+4.8% YoY
Total sales volume for Q1 FY25, including domestic and exports.
CNG share of domestic sales
33%
+8pp YoY
One in three cars sold domestically was CNG, up from 25% in Q1 FY24.
Export volume
70,560 units
+11.6% YoY
Exports grew strongly, with Jimny becoming the largest exported model.
Discount per vehicle
₹21,700
+50% QoQ
Average discount increased from ₹14,500 in Q4 FY24 to ₹21,700 in Q1 FY25.
What Changed vs Last Quarter
NEW
Six EV models planned by 2031
Maruti plans to launch six electric vehicle models by 2031, with the first EV to be displayed at Auto Expo in January 2025.
NEW
28 models in portfolio by end of decade
The company aims to expand from 18 to 28 models by 2030-31, adding at least 10 new models.
UPDATED
Export volume target of 300,000 units for FY25
Management reiterated that 300,000 export units is achievable for the full year, with growth in Middle East and Latin America.
UPDATED
CNG vehicle sales target of 600,000 units for FY25
Management guided for 600,000 CNG vehicle sales in FY25, with Q1 achieving slightly less than 150,000 units.
DROPPED
Kharkhoda plant operational in 2025
First plant at Kharkhoda with 250,000 units annual capacity is on track to be operational in 2025.
DROPPED
Gujarat greenfield facility with 1M units capacity
MOU signed for a new plant in Gujarat with potential 1 million units capacity and INR 35,000 crore investment, subject to land and board approval.
NEW RISK
Commodity price increases
CFO noted that commodity prices are dynamic and could reverse, impacting margins. Non-ferrous metals have already seen some increase.
NEW RISK
Yen appreciation impacting forex tailwind
CFO acknowledged that yen has started appreciating, which could moderate the forex benefit seen in Q1.
NEW RISK
Muted domestic demand and high discounts
Discounts rose 50% QoQ to ₹21,700 per vehicle due to heat wave and elections. Demand recovery depends on festive season.
NEW RISK
CAFE-3 norms compliance uncertainty
Stringent CAFE-3 norms from April 2027 may require significant EV/ hybrid mix. Super credits and penalties are still under policy consideration.
RISK GONE
First-time buyer demand remains weak
First-time buyer share is ~40-43% and not showing recovery; small car segment continues to shrink, which could limit market share gains.
RISK GONE
Commodity cost headwinds (steel, copper, aluminum)
Steel prices rose ~2% sequentially in Q4; copper and aluminum are expected to increase, impacting margins. Management flagged these as concerns.
RISK GONE
SUV mix shift may pressure CO2 compliance
SUV share continues to rise, increasing fleet CO2 emissions. Future CAFE norms could require more aggressive green technology adoption, raising costs.
RISK GONE
Export profitability volatility
Export margins are variable due to forex fluctuations and geopolitical risks; past markets like Algeria and Sri Lanka have seen sudden drops.
🤫 Topics management stopped discussing
Mentioned in Q1 FY24, Q2 FY24, Q3 FY24
Hatch segment share fell to 25% from 47% peak; first-time buyer share at 41% remains below pre-COVID levels. Recovery uncertain.
Mentioned in Q1 FY24, Q3 FY24
SIAM preliminary estimate for passenger vehicle industry in FY2024-25 is 4.3 million units, up from ~4.2 million expected in FY24.
Mentioned in Q3 FY24, Q4 FY24
First plant at Kharkhoda with 250,000 units annual capacity is on track to be operational in 2025.
Mentioned in Q2 FY24, Q3 FY24
Management noted steel may show upward movement, partially offset by PGM benefits, but commodity risk remains.
Fast read
Guidance and risk preview
Management reiterated that 300,000 export units is achievable for the full year, with growth in Middle East and Latin America.
CFO noted that commodity prices are dynamic and could reverse, impacting margins.
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