Hyundai Motor to declare first quarterly earnings since listing on Nov 12: Key things to watch

As this will be the first quarterly earnings report after the listing of Hyundai Motors India last month, the investors and experts will keep a keen watch on the company’s key financials. After its mega IPO, the biggest so far in India, the automaker’s expansion plans and management commentary will also be in focus. Hyundai Motor India shares made their debut on the NSE and BSE on Tuesday, October 22.

Key factors to watch out for

The company plans to allocate a corpus of ₹32,000 crore for its expansion in India between 2023 and 2032. The automaker mentioned in its Red Herring Prospectus (RHP) that these capital expenditures are focused on acquiring plant, property, equipment, and intangible assets for new passenger vehicle models.

According to the company’s RHP, Hyundai Motor India signed a memorandum of understanding (MoU) with the Tamil Nadu government for its Chennai manufacturing plant and offer letters with the Maharashtra government for its upcoming Talegaon facility. These agreements entail total investments of around ₹32,000 crore.

Hyundai Motor India’s Managing Director and CEO, Unsoo Kim, earlier revealed the company’s plan to increase its annual production capacity from 8,24,000 units to 1.1 million units by 2028.

According to reports, the company aims to have a production capacity of 775,000 units in 2024, up from 765,000 units in 2023.

The company plan to increase its offerings in the electric vehicle segment with a strategy that includes introducing four battery-powered models in the medium term. The company plans to cater to various segments of the Indian EV car market, including a mass-market electric car, premium models and an electric version of the popular Creta SUV.

Hyundai Motor India: Highest ever sales of SUVs in October

The company reported its third-highest monthly sales in October 2024 since its inception. The carmaker’s total vehicle sales for the month of October 2024 grew by 2% year-on-year to 70,078 units from 68,728 units in October 2023. The company’s exports also grew by 6.7% YoY in October to 14,510 units from 13,600 units in the year-ago period. Additionally, the company also achieved the highest-ever sales of Sports Utility Vehicles at 37,902 units and the highest-ever monthly domestic sales of Hyundai Creta SUV at 17,497 units.

The investors will watch out for the outcome of these sales numbers on the profit and revenue in the September quarter.

How other automakers fared in September quarter?

The current earnings season has been muted for automakers. Maruti Suzuki India Ltd posted a decline in its consolidated profit-after-tax for the September quarter of FY25, falling over 18% to ₹3102.5 crore from ₹3,786.2 crore in the September quarter of FY24. The company’s consolidated total income rose marginally by over 1% to ₹38,972 crore in Q2FY25 compared to ₹38,239 crore in Q2FY24.

Meanwhile, Tata Motors also posted a year-on-year decline in its consolidated total income and net profit. The company’s total income for Q2FY25 fell over 3% to ₹103,016 crore from ₹106,759 crore in the corresponding quarter of the preceding fiscal. The company’s PAT also declined nearly 10% to ₹3,450 crore in the September quarter of the ongoing fiscal compared to ₹3,832 crore in the September quarter of the preceding fiscal.

While Tata Motors and Maruti Suzuki India posted a decline in their total income and profit after tax, Mahindra & Mahindra’s revenue from operations and PAT grew in Q2FY25. The company’s consolidated revenue from operations increased over 9% to ₹37,689.04 crore in the September quarter, compared to ₹34281.2 crore in Q2FY24. The company’s profit-after-tax in Q2FY25 increased over 35% to ₹3,361 crore from ₹2,483 crore in the September quarter of FY24.

Hyundai Motor India Q1FY25 results

Hyundai Motor India reported over 4% year-on-year (YoY) rise in consolidated revenue from operations to ₹17,344 crore for the quarter ended on June 30, 2024 compared to ₹16,624 crore in the quarter ended June 30, 2023. In Q1FY25 IRCTC’s consolidated profit-after-tax grew over 12% to ₹1,489.7 crore compared to ₹1,329.2 crore in Q1FY24.

Hyundai Motor India share price

Ahead of Q2 result annoucement, Hyundai Motor India shares trades at ₹1,826 per share on NSE as of 11 am. Hyundai Motors India listed at ₹1,934 apiece on the NSE at a discount of 1.3% against the issue price of ₹1,960 apiece on October 22. The stock has slipped over 5.3% since its listing to trade at ₹1,830 per share level currently.