TVS Motor Firm Ltd., included within the yr 1992, is a Giant Cap firm (having a market cap of Rs 43555.99 Crore) working in Auto sector.
TVS Motor Firm Ltd. key Merchandise/Income Segments embody Car – 2 & 3 Wheelers, Different Working Income, Sale of providers for the yr ending 31-Mar-2022.
Financials
For the quarter ended 30-06-2022, the corporate reported a Consolidated Whole Earnings of Rs 7347.83 Crore, up 11.35 % from final quarter Whole Earnings of Rs 6598.75 Crore and up 56.60 % from final yr similar quarter Whole Earnings of Rs 4692.03 Crore. Firm reported web revenue after tax of Rs 306.31 Crore in newest quarter.
Funding Rationale
TVS’ Q1 PAT, at INR 3.2bn, was forward of our estimate of INR 2.4bn as a result of better-than-expected margin (flat QoQ at 10%), larger different revenue (INR 222mn vs INR 71mn in Q1), and decrease tax charge of 25.8%. The truth that TVS has been in a position to keep its margin at 10% in a tough quarter highlights the underlying enterprise resilience. In Q1, TVS has continued to outperform scooters and gained 330bps share to 24.9%. Nonetheless, its 160bps market share loss in bikes is attributable to the chip scarcity influence, which has damage TVS (and BAL) greater than friends in Q1. With provide points now resolved, the brokerage expects TVS to proceed its outperformance relative to friends on the again of its latest new launches, together with Raider and Ronin. Even in EVs, it appears to be forward of its listed friends with a robust product pipeline in place over the following 24 months and it has signed up with business consultants and JV companions to emerge a number one participant within the business. It maintains BUY with a revised TP of INR 1,030/sh (from INR 988 earlier) because it rolls ahead to June 24 earnings.
Promoter/FII Holdings
Promoters held 50.81 per cent stake within the firm as of 30-Jun-2022, whereas FIIs owned 9.85 per cent, DIIs 30.74 per cent.
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