Maruti Suzuki Q3: 13% Drop In Production, 21.7% Drop In Sales And 47% Drop In Profits

Maruti Suzuki, India’s largest carmaker posted its financial results for Quarter 3. The carmaker registered a 48% percent drop in net profit for the quarter ending 31 December 2021, due to lower sales volume, high commodity prices, and lower margins.

Constrained production in view of semiconductor shortage, lead to a drop of 13 percent in production with 90,000 units not being produced. Lower production also leads to lower sales volume resulting in a 21.7 percent drop in Y-o-Y sales. “There was no lack of demand as the company had more than 240,000 pending customer orders at the end of the Quarter. Though still unpredictable, the electronics supply situation is improving gradually. The Company hopes to increase production in Q4, though it would not reach full capacity.” The carmaker said in a statement to the media.

Further, the carmaker clocked its highest ever exports at 64,995 units as compared to 28,528 units in Q3FY21. A 66 percent growth when compared to the previous peak exports in any Q3.

During the Q3 FY 2021-22, the carmaker registered net sales of Rs 221,87.6 crore compared to that of Rs 22,236.7 crore in the same period the previous year.
 The company reported a profit of Rs 1,011 crore in the said quarter compared with Rs 1,941 crore a year earlier.

The top automaker's total revenue from operations stood at Rs 23,246 crore versus Rs 23,458 crore in the same quarter last fiscal.