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Maruti Suzuki gains as yen weakens against dollar

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Capital Market
Last Updated : Aug 25 2016 | 12:01 AM IST

Maruti Suzuki India rose 2.44% to Rs 4,951 at 10:29 IST on BSE as the Japanese yen weakened against the dollar.

Meanwhile, the S&P BSE Sensex was up 42.04 points, or 0.15%, to 28,032.25

On BSE, so far 32,000 shares were traded in the counter, compared with average daily volume of 76,352 shares in the past one quarter. The stock hit a high of Rs 4,957 and a low of Rs 4,870 so far during the day. The stock hit a record high of Rs 5,037.90 on 2 August 2016. The stock hit a 52-week low of Rs 3,202.10 on 29 February 2016. The stock had outperformed the market over the past 30 days till 23 August 2016, rising 6.21% compared with Sensex's 0.37% fall. The scrip had also outperformed the market in past one quarter, gaining 19.23% as against Sensex's 8.15% rise.

The large-cap company has equity capital of Rs 151.04 crore. Face value per share is Rs 5.

A weak yen lifts Maruti's operating profit margin. Maruti pays royalty to its Japanese parent Suzuki Motor Corporation in yen terms for some of its earlier models. Maruti has reportedly started paying royalty to its Japanese parent in rupee terms on all new models from 1 April 2016. Maruti also has an exposure to the yen to the extent it imports raw materials from Japan.

Maruti Suzuki India's net profit rose 23.02% to Rs 1486.20 crore on 13.45% growth in total income to Rs 15410.60 crore in Q1 June 2016 over Q1 June 2015.

Maruti Suzuki India is India's biggest car maker in terms of market share. Japanese parent Suzuki Motor Corporation currently holds 56.21% stake in Maruti (as per the shareholding pattern as on 30 June 2016).

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First Published: Aug 24 2016 | 10:29 AM IST

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