TVS Motor Company Posts Highest Ever Revenue, EBITDA & Profit In Q2

TVS Motor Company’s operating revenue grew by 28 percent at Rs. 7,219 Crores for the quarter ended September 2022 as against Rs. 5,619 Crores reported in the quarter ended September 2021.

The Company’s Operating EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortisation) grew by 31 percent at Rs. 737 Crores for the second quarter of 2022-23 as against EBITDA of Rs. 563 Crores in second quarter of 2021-22. The Company’s EBITDA margin for the quarter is at 10.2% as against EBITDA margin of 10 percent reported in the second quarter of 2021-22. 

The Company’s Profit Before Tax grew by 46 percent at Rs. 549 Crores for the second quarter of 2022-23 as against PBT of Rs. 377 Crores in second quarter of 2021-22.

This was delivered despite challenges in international markets due to the economic slowdown and higher inflation in some of the key markets. 

Higher investments were made in all key brands with better availability of vehicles and launch of TVS Ronin and new TVS iQube Electric. As part of the EV strategy, specialised resources were added in the areas of software, electronics and digital & analytics to further augment the team.

Though the premium motorcycle sales improved over Q1, the full demand could not be met due to the continued limited availability of semiconductors during Q2. There was a month-on-month improvement of premium motorcycle sales in Q2 and the supply constraints are expected to further ease out in Q3.

The overall two-wheeler and three-wheeler sales including exports grew by 12 percent registering 10.27 Lakh units in the quarter ended September 2022 as against 9.17 Lakh units registered in the quarter ended September 2021. Motorcycle sales grew by 9 percent registering 4.77 Lakh units in the quarter ended September 2022 as against 4.39 Lakh units in quarter ended September 2021. Scooter sales for the quarter ended September 2022 grew by 44 percent registering 3.83 Lakh units as against the sales of 2.66 Lakh units in the second quarter of 2021-22. 

During the quarter, the Company forayed into the premium lifestyle segment by launching TVS Ronin - the industry-first ‘Modern-Retro’ motorcycle, all new 2022 TVS Apache RTR 160 and 2022 TVS Apache RTR 180 launched with more power, ride modes and SmartXonnect. The Company also launched TVS iQube Electric scooter in three variants that comes loaded with best-in-class on-road range of 140 km on a single charge.