Mahindra & Mahindra Profit Up 13% in Q4, New Plant Planned

Source : PTI | Mumbai/ New Delhi, (PTI) Mahindra & Mahindra Ltd, which on Monday reported a 13.34 per cent rise in consolidated profit after tax for the March quarter, announced plans to set up a new manufacturing facility primarily for passenger vehicles, which is expected to be operational by March 2028.
The company reported a 13.34 per cent rise in consolidated profit after tax to Rs 3,541.85 crore in the fourth quarter ended on March 31, 2025, led by good performance from auto and farm equipment sectors.
M&M had delivered a consolidated net profit of Rs 3,124.94 crore in the same quarter of the previous fiscal, according to an exchange filing.
Consolidated revenue from operations stood at Rs 42,585.67 crore in the quarter under review, as compared to Rs 35,373.34 crore in the year-ago period, Mahindra & Mahindra (M&M) added.
Announcing plans for a new facility, Rajesh Jejurikar, Executive Director and CEO for Automotive and Farm Equipment Sector at Mahindra & Mahindra, said, “It will be a large futuristic plant that will be set up.
“At this point, we’re thinking of it as primarily a PV plant, but we would need provision maybe for some other elements of our business to come in as we start conceptualising and seeing what kind of investment subsidies we get in different states as we plan for the future.”
He said that the company had not yet decided the geography or location of the plant adding that cash flow related to the proposed facility has been provided in the capex.
He said that the company is looking to increase capacity for XUV3X0 and Thar ROXX by 3000 units this fiscal besides creating new platform capacity in Chakan (Pune) of 1.2-lakh per annum.
The company plans to scale up its monthly production from 61,500 units to 85,000 units by the end of FY26, taking its annual installed capacity beyond one million units.
“We will add the 3XO and ROXX capacity, which is 9,000 and roughly 10,500 units, respectively. That’s an incremental 3,000 units in FY26,” Jejurikar said.
He also announced that a new vehicle platform will be unveiled on August 15 this year and will be backed by additional capacity in Chakan.
“For the new platform that we will talk about, we will be creating additional capacity in Chakan of 1,20,000 units per annum,” Jejurikar said.
According to a company’s presentation, Mahindra & Mahindra will have internal combustion engine-powered SUVs, five BEVs and five LCVs in its portfolio by 2030.
Jejurikar also said that the company has already delivered 6,300 units of its electric SUVs – EV 9e & BE 6 – in over a month’s time.
He also said that while there is stress in urban demand, the rural demand is very strong.
“We have delivered strong growth on the back of stellar execution in F25. Auto and Farm continue to gain market share and expand profitability,” M&M Ltd Group CEO & Managing Director Anish Shah said.
He further said TechMahindra is making commendable progress towards its dual objectives of strengthening client positioning and margin expansion.
“Our Growth Gems are scaling up well. We continue to build strong businesses which will deliver significant value to our stakeholders,” Shah added.
In the auto segment, the sales volume was up 18 per cent at 2.53-lakh units in the Q4 FY 25 with SUV volumes at 1.49-lakh.
“We continued our outstanding performance for the year in Q4-F25, with significant gain of 310 bps YoY in SUV revenue share, and 480 bps YoY in LCV (less than 3.5T) market share.
“In tractors, we reached our highest-ever Q4 market share of 41.2 per cent , gaining 180 bps YoY. In F25, our Auto Standalone PBIT margin improved by 110 bps and core tractor PBIT margins improved by 200 bps,” Jejurikar said.
Total expenses were higher at Rs 39,113.61 crore in the reported quarter, as against Rs 32,172.17 crore in the same period of the previous fiscal.
Total vehicle sales in the quarter stood at 2,53,028 units, as compared to 2,15,280 units in the year-ago period, up 18 per cent.
Tractor sales were at 87,138 units in the January-March quarter, as against 71,039 units in the same period previous fiscal, up 23 per cent, it added.
For the fiscal ended March 31, 2025, consolidated profit after tax was at Rs 14,073.17 crore, as compared to Rs 12,269.82 crore in the corresponding period a year ago, the company said. Consolidated revenue in FY25 stood at Rs 1,58,749.75 crore, as compared to Rs 1,38,279.30 crore in FY24, it added.
Amarjyoti Barua, Group Chief Financial Officer, at M&M Ltd said, “It has been an excellent year with broad-based growth and profitability improvement across our businesses.
“In line with our commitment to capital allocation, we have sharpened our focus in international farm geographies. Our results include nearly 10,000 cr. of cash generation in F25 which gives us the ability to continue to drive value for our shareholders through strategic investments.”
The board of directors have recommended a final dividend of Rs 25.30 per share, the company said.
Source: worldautoforum.com