Two-wheeler giant Bajaj Auto posts a decline in revenues in Q4, stock slips 1.85%

However, the company has reported decent numbers for FY22. 

Bajaj Auto Ltd, an S&P 500 company primarily engaged in software and consulting business, has been trending on Dalal Street as it has rallied by about 5.17% from its previous close of Rs 4,076.90. The scrip opened at Rs 4,268 and made a day’s high of Rs 4,410.30.     

The company announced its Q4 and FY22 results on 27th April. In Q4FY22, revenue decreased by 8.14% YoY to Rs 7728.13 crore from Rs 8412.8 crore in Q4FY21. On a sequential basis, the top-line was down by 12.24%. PBIDT (exclusive of other income) was reported at Rs 1360.68 crore, down by 10.59% as compared to the year-ago period and the corresponding margin was reported at 17.06%, contracting by 64 basis points YoY. PAT was reported at Rs 1464.11 crore, up by 10.1% from Rs 1329.78 crore in the same quarter of the previous fiscal year. The PAT margin stood at 18.36% in Q4FY22 expanding from 15.47% in Q4FY21.

For several months now, Bajaj Auto or rather the two-wheeler industry as a whole has been facing semiconductor shortage issues. This has led to declining sales volumes over months. However, Bajaj Auto has been able to pass on the prices to end customers, which is why it has been able to soften the damage.

As far as the fiscal 2022 results are concerned, the revenues from operations grew by 19% to Rs 33,145 crore as against FY21. The EBITDA and PAT grew by 6% and 10% to Rs 5,389 crore and Rs 5,019 crore, respectively.

Bajaj Auto Ltd is into manufacturing motorcycles, scooters and three-wheelers. The company has launched brands like Boxer, Caliber, Pulsar and many more. They have also launched India's first real cruiser bike, Kawasaki Bajaj Eliminator. The stock has a 52-week high of Rs 4,347.95 and a 52-week low of Rs 3,028.35.

Also read: Persistent Systems gains over 5% as it reports robust Q4 and FY22 results