Mahindra & Mahindra, the manufacturer of the 'Scorpio' SUV, reported a smaller-than-expected increase in third-quarter profit on Wednesday. Weak demand for its profit-boosting tractors offset strong sales of sport utility vehicles (SUVs).
The standalone profit after tax for Mahindra & Mahindra rose by 60.6 per cent to Rs 2,454 crore ($295 million) in the three months ending December 31. However, this figure missed analysts' estimates of Rs 2,512 crore.
"Our businesses have delivered solid operating performance this quarter. Auto continues to gain market share and has grown rapidly to double its profit. Farm has gained market share despite tough market conditions," M&M Managing Director & CEO Anish Shah said.
He further said, "TechM is working through challenging operating results, but I feel good that the right actions are being taken to turnaround its performance." The company continued the journey of unlocking value in its growth gems with the listing of India's largest renewable InvIT and partnerships with marquee investors, Shah said. Shares of the company were trading 0.13 per cent higher at Rs 1,648.10 apiece on the BSE.
(With Reuters inputs)
