- Bajaj Auto reported a net income of 20.1 billion rupees for the second quarter, marking a 9.5% increase year-over-year, but missing the estimate of 22.03 billion rupees.
- Revenue increased by 22% to 131.3 billion rupees, slightly below the estimated 132.45 billion rupees.
- Revenue from contracts with customers reached 126.9 billion rupees, a 21% increase compared to the previous year.
- Other operating revenue saw a significant rise of 70% to 4.39 billion rupees, surpassing the estimate of 3.42 billion rupees.
- Total costs rose by 21% to 105.9 billion rupees, with raw material costs also up by 21% to 87.2 billion rupees.
- Finance costs increased to 159.2 million rupees, from 65.3 million rupees the previous year, but were below the estimated 184.2 million rupees.
- The total tax expense grew by 63% to 9.2 billion rupees, exceeding the estimate of 7.4 billion rupees.
- Other income amounted to 3.85 billion rupees, reflecting a 6.5% increase from the prior year.
- EBITDA improved by 24% to 26.53 billion rupees, though it was slightly below the expected 26.84 billion rupees.
- The EBITDA margin increased to 20.2% from 19.8% in the previous year.
- Cash and cash equivalents decreased by 2.2% quarter-over-quarter to 163.9 billion rupees.
- Market sentiment included 21 buy recommendations, 10 hold recommendations, and 14 sell recommendations.
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A look at Bajaj Auto Ltd Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
With a strong Dividend score of 4 and high Resilience and Momentum scores of 4 each, Bajaj Auto Ltd appears to be well-positioned for the long term. The company’s focus on paying dividends to shareholders, coupled with its ability to weather market challenges and maintain strong momentum, bodes well for its future performance. Additionally, the Growth score of 3 signifies potential for expansion in the coming years, indicating a positive outlook for the company’s development.
Bajaj Auto Limited, a manufacturer and distributor of motorized two-wheeled and three-wheeled scooters, motorcycles, and mopeds, demonstrates a mix of stable performance and growth potential. Despite a moderate Value score of 2, the company’s overall Smart Scores point towards a promising future trajectory, supported by its strategic positioning in the automotive industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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