NIFTY 50 Movers: Auto Sector Shines as Eicher Jumps 3.20 per cent, Adding Over Rs 4,000 Crore to Market Cap
Royal Enfield accelerates, total motorcycle sales increased 17 per cent to 77,775 units, while models with engine capacity exceeding 350 cc surged 33 per cent to 12,895 units in February 2025 compared to February 2024
The auto sector stole the spotlight on Monday, bouncing back after a two-day slump, with the sectoral index gaining nearly 1.79 per cent. Leading the charge was Eicher Motors Ltd, which saw its stock climb 3.20 per cent, adding more than Rs 4,000 crore to its market capitalization. The rally was fueled by impressive monthly sales data, which reflected a robust demand for motorcycles and commercial vehicles.
The company’s two-wheeler division posted a strong performance, with total motorcycle sales reaching 90,670 units in February 2025, marking a 19 per cent jump from 75,935 units sold a year ago. The demand for models with engine capacities up to 350 cc rose 17 per cent to 77,775 units, while sales of premium motorcycles with engine capacities exceeding 350 cc surged by 33 per cent to 12,895 units. Additionally, the international market contributed significantly, with overseas sales soaring 23 per cent to 9,871 units compared to 8,013 units in the same period last year.
Beyond motorcycles, the company’s commercial vehicle arm also delivered an impressive performance. Its unlisted subsidiary reported a 9 per cent year-on-year growth in commercial vehicle sales, totaling 8,092 units in February 2025. Domestic sales of commercial vehicles increased by 6.2 per cent to 7,357 units, while exports saw a remarkable 74.7 per cent surge, reaching 552 units. The premium segment, comprising Volvo trucks and buses, recorded steady growth, with sales rising by 2.8 per cent year-on-year to 183 units in February 2025.
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For Q3FY25, The company reported a 17.5 per cent jump in consolidated net profit to Rs 1,170.50 crore, compared to Rs 995.97 crore in Q3 FY24. Revenue from operations also witnessed a significant 18.8 per cent year-on-year increase, reaching Rs 4,888.11 crore in Q3 FY25.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice.