Hero MotoCorp rose 0.58% to Rs 2,099.90 at 11:34 IST on BSE, extending Wednesday's 0.86% rise triggered by better-than-expected Q2 September 2013 results.
The result was announced during market hours on Wednesday, 23 October 2013. The stock rose 0.86% to Rs 2,087.70 on that day. It has risen 1.45% in two trading sessions from Rs 2,069.95 on Tuesday, 22 October 2013.
Meanwhile, the BSE Sensex was up 193.63 points, or 0.93%, to 20,961.51.
On BSE, 24,000 shares were traded in the counter compared with average volume of 53,615 shares in the past one quarter.
The stock hit a high of Rs 2,125 and a low of Rs 2,077 so far during the day. The stock hit a 52-week high of Rs 2,127.70 on 11 September 2013. The stock hit a 52-week low of Rs 1,434.05 on 15 April 2013.
The stock had underperformed the market over the past one month till 23 October 2013, rising 4.41% compared with the Sensex's 4.36% rise. The scrip had, however, outperformed the market in past one quarter, gaining 16.99% as against Sensex's 2.29% rise.
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The large-cap company has an equity capital of Rs 39.94 crore. Face value per share is Rs 2.
Hero MotoCorp's net profit rose 9.26% to Rs 481.41 crore on 10.49% growth in total income to Rs 5841.67 crore in Q2 September 2013 over Q2 September 2012.
Hero MotoCorp's EBIDTA margin (earnings before interest, depreciation & amortaization) stood at 14.5% in Q2 September 2013.
The company said it sold 14.16 lakh two-wheelers in Q2 September 2013.
Commenting the second quarter results, Mr. Pawan Munjal, MD & CEO, Hero MotoCorp said: "With our performance the second quarter, we have clearly demonstrated that we can have good margins even as we strengthen our market leadership. When we commenced our solo journey a little over two years ago, protecting our market share was the top-most priority. Having achieved that, our strategy now clearly is to build on that leadership and make our business more profitable through several innovations, including a cost rationalization initiative. The results are already showing. Going forward, as we move to consolidate our leadership through technology, innovation and youth-focused products, we will certainly strive to keep improving our profitability as well."
Mr. Munjal added: "These numbers bode well for the festive season. The sentiments are positive and there is a momentum for us in the market, and we are definitely looking at demonstrating our leadership by record dispatch and retail sales during the festive period. The country, however, is passing through a very challenging time, which is also reflected in the sluggishness in the industry. The rupee depreciation, which has adversely impacted several sectors, has also pulled up the costs of essential commodities such as steel, nickel, copper and rubber. Going forward, these higher input prices, combined with increasing labour costs, are likely to put a lot of pressure on margins in the industry. We will, therefore, be innovative in tackling these cost pressures to protect our margins."
Hero MotoCorp said that with the company fast augmenting its presence globally and further strengthening its leadership in the domestic market, the company has unveiled a global vision for brand Hero to be achieved by the year 2020. This entails a target of Rs 60000 crore in turnover by the year 2020.
Hero MotoCorp is the world's largest two-wheeler manufacturer in terms of production capacity.
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