SML Isuzu shares locked in 10% upper circuit after Q1 earnings

Shares of commercial vehicle maker, SML Isuzu, were locked in 10% upper circuit at ₹3,675.15 on the BSE after it reported April-June quarter earnings. On the National Stock Exchange, SML Isuzu shares rose by their daily maximum limit of 10% to hit fresh 52-week high of ₹3,685.10.

SML Isuzu on Tuesday, July 22, reported net profit of ₹67 crore in first quarter of the current financial year, marking an increase of 44% from ₹46 crore in the same period last year.

The Chandigarh-based company's revenue from operations advanced 13% to ₹846 crore in Q1 as against ₹746 crore in the year-ago period.

SML Isuzu reported strong operational performance as its earnings before interest, taxes, depreciation and amortisation (EBITDA) or operating profit soared 30% in Q1 to ₹105 crore from ₹81 crore in the corresponding period last year.

Its operating profit margin also known as operating profit margin improved by 160 basis points to 12.41% from 10.84%.

“During the quarter Sumitomo Corporation, Japan (promoter shareholder) and Isuzu Motors Limited, Japan (public shareholder) entered into share purchase agreements with Mahindra & Mahindra (Acquirer), whereby they agreed to sell 63,62,306 equity shares (representing 43.96% of the equity share capital of the Company) and 21,70,747 equity shares (representing 15.00% of the equity share capital of the Company) respectively, of face value of ₹10/- each, at a price of ₹650/- per share,” SML Isuzu said in a regulatory filing.

“Further, on 5 May 2025, the Acquirer published a Detailed Public Statement to the public shareholders announcing the 'Open Offer' for acquisition of upto 37,62,628 fully paid equity shares of face value of Rs.10/- each, representing 26% of the equity share capital of the Company, at a price of Rs.1,554.60/- per share. The Acquirer has received unconditional approval from the Competition Commission of India for the said acquisition and the Open Offer on 17 June 2025. The transaction remains subject to the completion of other customary conditions precedent,” SML Isuzu added.

As of 2:03 pm, SML Isuzu shares were locked in 10% upper circuit with pending buy orders of 11,140 shares while there was no seller on the BSE.