Revenue from operations during the fourth quarter (January to March) of the current financial year declined 8.1 per cent due to lower sales volumes.
India’s largest exporter of motorcycles, as well as three-wheeler manufacturer, Bajaj Auto has reported revenue of ₹ 6,815.85 crore in the fourth quarter of the current financial year, due to low sales on account of the COVID-19 lockdown. Standalone profit is reported to have grown 0.4 per cent at ₹ 1,310.3 crore, supported by a lower tax rate and higher other income. The profit in the corresponding period in the last fiscal stood at ₹ 1,305.59 crore. For the financial year 2019-20, profit is reported to be ₹ 5,211.91 crore, up by 5.8 per cent from the ₹ 4,927.60 crore in the last fiscal.
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For FY 2020, Bajaj Auto clocked revenue of ₹ 29,918.65 crore, a 1.44 per cent fall over the ₹ 30,357.63 crore posted in FY 2019. During the quarter under review, sales were impacted by the coronavirus pandemic, as well as subsequent lockdown. In Q4 of the current fiscal, Bajaj sold 4,03,084 units, down 34 per cent from 6,10,094 units in Q4 of FY 2019. Three wheeler sales also declined by 27 per cent to 75,076 units in the January to March 2020 quarter.
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However, 7 per cent growth in the company’s total export volumes during Q4 of FY 2020 cushioned the negative effects of the COVID-19 pandemic, resulting in marginal decline in net profit. In fact, Bajaj exported the highest number of vehicles in the financial year 2019-20, with volume of 21.7 lakh units, a 4 per cent increase over the total exports in FY 2018-19. Motorcycle sales outside India grew 10 per cent during the fiscal with growth across Africa, Latin America, South Asia and the Middle East, Bajaj Auto said in a statement.
The company said the nationwide lockdown has “effectively wiped out” 40 days of work, of which 32 days will be in the new financial year (2020-2021). The company said it has now reopened its manufacturing facilities at Chakan, Waluj and Pantnagar, but the plants are not operating at full capacity.