Eicher Motors Ltd. announced an 8% increase in its net profit for the second quarter of FY25, reaching Rs 1,100.3 crore, compared to Rs 1,016.3 crore in the same quarter last year. Despite a decline in Royal Enfield sales volumes, the company saw growth in its overall profit.
Revenue from operations grew by 3.6% year-on-year, totaling Rs 4,263.07 crore. However, operating profit (EBITDA) remained largely stable at Rs 1,087.7 crore, with the operating profit margin slightly narrowing to 25.5% from 26.4%. The company benefited from a 30% increase in other income, which amounted to Rs 353.8 crore.
Royal Enfield’s total sales volume dipped by 1.8%, with 2.25 lakh units sold during the quarter. While export volumes saw an improvement, the decline in domestic sales could not be fully offset. Total expenses rose by 5.6% to Rs 3,368.5 crore, with the cost of raw materials and components accounting for 55.8% of revenue, slightly higher than the previous quarter’s 55.5%.
In the commercial vehicle segment, VE Commercial Vehicles, a joint venture with Volvo Group, posted strong results. The segment’s revenue increased by 8%, totaling Rs 5,538 crore, driven by higher truck and bus sales, which rose to 20,774 units from 19,551 units. VE Commercial’s profit after tax also grew to Rs 209 crore from Rs 187 crore. The share of profit from the joint venture increased to Rs 113.75 crore, up from Rs 101.62 crore last year.
Commenting on the performance, Managing Director Siddhartha Lal highlighted VE Commercial Vehicles’ record Q2 performance, noting improved market share in the truck segment despite overall industry volume challenges.
Eicher Motors Ltd. is a prominent Indian automotive company known for its leadership in both the motorcycle and commercial vehicle sectors. The company operates under two key brands: Royal Enfield, which produces premium motorcycles with a global following, and VE Commercial Vehicles, a joint venture with Volvo Group, focused on manufacturing trucks and buses.
Eicher Motors has a long-standing reputation for innovation and quality, and its products are sold in markets worldwide. With a strong presence in India and a growing international footprint, Eicher continues to drive growth through strategic investments in technology, sustainability, and expansion across both its divisions. The company is committed to delivering high-performance, reliable vehicles that cater to the evolving needs of customers, while also fostering a culture of excellence in manufacturing and customer service.
