Eicher Motors Share Price Rose 7.10%; Reported Q2 FY 2025 Financial Results With 8.3% PAT Growth

Eicher Motors announced its financial results for the quarter ended September 30, 2024. Post the announcement, Eicher Motors started gaining the spotlight. 

On November 14, 2024, Eicher Motors share price opened at ₹4,725.45, up from its previous close of ₹4,588.70. At 9:49 AM, the share price of Eicher Motors was trading at ₹4,914.60, up by 7.10%.

Q2 FY 2025 Financial Highlights

The company reported the highest-ever revenue from operations for the second quarter, reaching ₹4,263 crores, an improvement from ₹4,115 crores in the same period last year. 

The company’s EBITDA stood at ₹1,088 crores, nearly consistent with the previous year’s ₹1,087 crores. Profit After Tax (PAT) rose by 8.3% to ₹1,100 crores, compared to ₹1,016 crores in Q2 FY 2023-24. Royal Enfield, a subsidiary of Eicher Motors, sold 2,25,317 motorcycles this quarter, slightly down from 2,29,496 units in the same quarter last year.

In addition, Eicher Motors’ commercial vehicle segment, VE Commercial Vehicles (VECV), demonstrated growth with revenue from operations at ₹5,538 crores, an 8% increase from last year’s ₹5,126 crores. VECV’s EBITDA for Q2 was ₹395 crores, down slightly from ₹402 crores in the previous year. PAT for VECV reached ₹209 crores, rising from ₹187 crores last year, as sales rose to 20,774 vehicles from 19,551 in the same quarter last year.

Royal Enfield’s Global Expansion and EV Launch

Royal Enfield continues to expand globally and make strategic advancements, particularly with its entry into the electric vehicle (EV) space. The brand unveiled its new EV lineup, Flying Flea, at EICMA, introducing two models: the Classic-styled Flying Flea C6 and the Scrambler-styled Flying Flea S6. Royal Enfield also launched the Bear 650, a scrambler-style bike for adventurous riders, and the Classic 650, which delivers a swift and refined riding experience powered by the 650 Twin engine.

In its effort to strengthen its presence in South Asia, Royal Enfield inaugurated a Category 2 manufacturing unit and flagship showroom in Bangladesh. The company stated that this facility will assemble 4 flagship models tailored to the Bangladeshi market: Hunter 350, Meteor 350, Classic 350, and Bullet 350. Additionally, Royal Enfield is focused on expanding in Latin America by establishing a CKD (Completely Knocked Down) unit in Brazil by December 2024. 

This expansion aims to support local assembly and bolster Royal Enfield’s footprint in the Brazilian automotive market, highlighting the brand’s commitment to diverse international growth.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.