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Maruti Suzuki Q3 Results: Net Profit At Rs 3,794 Crore, Margins Shrink On Labour Code Impact
Www.Ndtvprofit.Com· 2026-01-28 09:36
Core Insights - Maruti Suzuki India reported a net profit increase of 3.7% to Rs 3,794 crore for Q3FY26, missing Bloomberg estimates of Rs 4,212 crore [1][6] - Revenue from operations rose by 28.7% to Rs 49,892 crore, surpassing the previous year's Rs 38,752 crore and slightly exceeding Bloomberg's estimate of Rs 48,197 crore [2][6] - The company's EBITDA increased by 10% to Rs 5,572 crore, compared to Rs 5,065 crore in the same quarter last year, but fell short of the estimate of Rs 5,638 crore [4][6] Financial Performance - The profit for Q3FY26 was Rs 3,794 crore, up from Rs 3,659 crore in the same quarter last year [1][6] - Revenue for the quarter was Rs 49,892 crore, compared to Rs 38,752 crore in the previous year [2][6] - EBITDA for the quarter was Rs 5,572 crore, an increase from Rs 5,065 crore year-on-year [4][6] Margin Analysis - The operating margin decreased to 11.2% from 13.1% in the same quarter last year, which was also below the estimated margin of 11.7% [4][6] - The decline in margin was attributed to adverse commodity prices, unfavorable foreign exchange movements, rare earth supply issues, and a one-time provision related to new labor codes [4] Stock Performance - Following the Q3 results announcement, Maruti Suzuki's stock recovered over 5% from intraday losses [5] - The stock has experienced a 10% decline over the past month, but has rallied 21% over the last six months, and increased by 51% over two years and 97% over five years [5]