The two-wheeler maker recorded 71% jump in standalone net profit to Rs 625 crore in Q1 FY23 from Rs 365 crore in Q1 FY22.
Revenue from operations for the first quarter stood at Rs 8,393 crore, a growth of 53% over the corresponding quarter in the previous fiscal.
EBITDA increased by 83% YoY to Rs 941 crore in Q1 FY23, reflecting 11.2% EBITDA margin and a growth of 83%.
Profit before tax (PBT) in Q1 FY23 stood at Rs 824 crore, up by 70% from Rs 484 crore in Q1 FY23.
The company sold 13.90 lakh units of motorcycles and scooters in Q1 FY23, a growth of 36% over the corresponding quarter in the previous fiscal.
Hero MotoCorp said that despite the commodity headwinds and supply chain disruptions consequent to geo-political issues, the company maintained its EBITDA margins sequentially, through a combination of cost saving measures, judicious price increases and premiumization of model line up.
The PBT for the quarter was impacted by lower other income arising from MTM (mark to market loss), to the extent of Rs 60 crore.
Hero MotoCorp stated that it is gearing up to launch electric vehicle in festive season and has forged several partnerships and collaboration on this front including charging infrastructure.
Niranjan Gupta, chief financial officer (CFO), Hero MotoCorp, said The Fiscal year began on a positive note for the industry, with growth over not only last year but sequentially over Q4 FY22 as well. While the macro economic environment globally is facing headwinds of inflation, Indian economy is relatively better placed to move on path to recovery and growth. Certain key indicators like GST collections, PMI, consumer confidence index are all moving in the right direction.
As the country enters the festive season, we expect the 2 wheeler demand to be on a healthy trajectory supported by micro factors like normal monsoon, crop cycle, opening of all sectors of the economy etc. The margin pressure on the industry is also likely to ease in coming quarters, as commodities cool off and price recovery moves ahead of cost impact.
Hero MotoCorp is the world's largest manufacturer of motorcycles and scooters.
The scrip shed 0.88% to end at Rs 2760.90 on the BSE on Friday.
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