Bajaj Auto down after company reports nar 16% drop in Q4 net profit

Last Updated: Thu, May 18, 2017 15:18 hrs
Worker cleans Bajaj motorcycle at a Bajaj showroom in Kolkata

Bajaj Auto has reported standalone net profit of Rs 802 crore for the quarter ended March 2017, down 15.49% compared to year-ago quarter, and lower than what the market had expected.

Total income for the quarter was Rs 5506 crore, down 7.72% compared to corresponding quarter in 2015-16. The company's operating EBITDA declined to 21.2% in the fourth quarter, from 23.3% in the year-ago quarter.

Sales were also down in January - March 2017 quarter. At 7.876 lakh vehicles, sales were down by nearly 1 lakh vehicles from sales of 8.725 lakh vehciles in the corresponding quarter last year.

Bajaj Auto Limited's board of directors have recommended a dividend of Rs 55 per share (550% of face value of Rs 10)

Bajaj Auto shares declined to Rs 2984.85, losing about 1.6%, and after staging a recover of sorts, retreated again and is currently hovering around 3007, down 0.7% from previous closing price.

After touching a high of Rs 3030.95 in early September 2016, Bajaj Auto had declined to around Rs 2525 by late November 2016 before inching its way up north again.

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