Chennai-based TVS Motor Company had reported a net loss of Rs 95 lakh during the quarter ended December 31, 2008 as against profit of Rs 5 crore. The company's sales also dropped by 2 per cent to Rs 852 crore from Rs 875 crore.
Total income during the third quarter dropped to Rs 868 crore as compared to Rs 889 crore for the same period last year.
The company had stated that due to restricted availability of finance, liquidity crunch and general inflationary trends witnessed by the market dip in the revenue.
Motorcycles sales for the quarter stood at 145 lakh units as compared to 176 lakh units in the same period last year, a drop of 17 per cent. Scooters sale also dropped by 12 per cent to 57 lakh units from 65 lakh units.
It may be recalled the company had reported 19 per cent growth in total two wheeler sales in September 2008. The number of units sold increased to 137,246 units in September 2008 as against 115,091 units for the same period last year.
During the month, the company's motorcycle sales posted 32 per cent growth recording 71,278 units in comparison to 53,991 units recorded in September 2007. Scooters sales reported a minor drop in sales to 27,108 units as against 27,199 units.
While company reported a drop in domestic sales, export witnessed 53 per cent surge to 55 lakh units during the third quarter. Again, in September 2008, the company had said that exports increased by 40 per cent to 18,229 units as against 13,036 units.
According to company's statement on the future outlook "its overall business plan for the financial year, the company expects to maintain cumulative growth in sales over the previous year in the next quarter as well. The company remains committed to continuously implement its focussed and imporved value engineering programme to reduce costs and further enhance quality".
