Eicher Motors declines 4% post Q4FY19 numbers - Highlight Investment Research

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Monday, 13 May 2019

Eicher Motors declines 4% post Q4FY19 numbers

Share of Eicher Motors declined 4% on Monday after the company’s PAT for the fourth quarter of FY19 dropped 16% yoy on Rs544.8cr.

Consolidated revenue for the quarter stood at Rs2,500.1cr, down 1.1% yoy (up 6.8% qoq). Due to subdued sales coupled with higher raw material cost and other expenses, EBITDA declined 14.1% yoy to Rs684.7cr. Thus, EBITDA margin contracted by 415bps yoy to 27.4%, the company said in a press note released after markets hours to the exchanges on Friday.

Motorcycle sales for Royal Enfield registered a decline of 13% yoy to 1,97,567 units. This was mainly on account of challenging H2FY19 for the two-wheeler industry in India with factors such as revision in insurance cost, increase in prices on account of new safety norms, affected consumer sentiment.




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