Eicher Motors rallies 5% on better than expected Q3 earnings

Management commentary suggests some raw material decline benefits along with price hike to come in effect from Q4FY23 onwards amid robust demand for its product profile .

Shares of Eicher Motors, the maker of Royal Enfield motorcycles, rallied 5 per cent to Rs 3,340 on the BSE in Wednesday’s intra-day trade in an otherwise subdued market after the company posted a better-than-expected 62 per cent year-on-year (YoY) jump in net profit at Rs 741 crore, on back of higher motorcycle sales and other income. On sequential basis, net profit grew 5.7 per cent.

Analysts on an average had expected profit of around Rs 700 crore for the quarter. In comparison, the S&P BSE Sensex was up 0.04 per cent at 61,056 at 11:38 AM.

Eicher’s