Mahindra & Mahindra lost 0.56% to Rs 957 at 12:17 IST on BSE after consolidated net profit declined 1.93% to Rs 1230 crore on 8.5% growth in gross revenue and other income to Rs 20679.90 crore in Q3 December 2013 over Q3 December 2012.
The Q3 result was announced after market hours on Wednesday, 26 February 2014. The stock market was closed on Thursday, 27 February 2014, on account of Mahashivratri.
Meanwhile, the BSE Sensex was up 71.58 points or 0.34% at 21,058.57.
On BSE, so far 26,000 shares were traded in the counter as against average daily volume of 78,355 shares in the past one quarter.
The stock was volatile. The stock lost as much as 1.31% at the day's low of Rs 949.75 so far during the day. The stock rose as much as 0.78% at the day's high of Rs 970 so far during the day. The stock hit a record high of Rs 1,026.45 on 20 May 2013. The stock hit a 52-week low of Rs 741.50 on 28 August 2013.
The stock had outperformed the market over the past one month till 26 February 2014, surging 8.72% compared with the Sensex's 0.69% fall. The scrip had, however, underperformed the market in past one quarter, advancing 2.04% as against Sensex's 2.75% rise.
The large-cap company has equity capital of Rs 307.94 crore. Face value per share is Rs 5.
On a like to like basis, Mahindra & Mahindra (M&M)'s consolidated revenue rose 11.7% in Q3 December 2013 over Q3 December 2012.
M&M said that the net profit after tax and minority interest for Q3 December 2013 includes a gain of Rs 256.5 crore that accrued on completion of the first part of the transaction in the auto components business with CIE Automotive S.A., Spain. The net profit after tax and minority interest for Q3 December 2012 included a deemed divestiture profit of Rs 275.6 crore as a result of dilution of M&M's holding due to a QIP issue by its subsidiary Mahindra & Mahindra Financial Services, M&M said. Translation of rupee to dollar is a convenience translation at the average exchange rate for the twelve month period ended 31 December 2013, the company said.
Mahindra CIE Automotive (formerly known as Mahindra Forgings) and Mahindra Hinoday Industries ceased to be subsidiaries effective 4 October 2013, on account of their divestment as part of the transaction in the Auto Components business with CIE Automotive S.A., Spain, hence their revenues and profits are consolidated only upto Q2 September 2013, M&M said.
M&M said that the performance of Tech Mahindra with a 34% growth in consolidated revenues and a 214% increase in profits is particularly noteworthy. Ssangyong Motor Company, South Korea grew consolidated revenues by 19% (in Korean Won terms) in Q3 December 2013 and also significantly reduced the loss as compared to Q3 December 2012, M&M said. Ssangyong Motor Company for the Q3 December 2013 would have posted a profit but for the Supreme Court decision on the ordinary wage issue in South Korea which has adversely affected their profit, M&M said in a statement.
The Mahindra Group operates in the key industries that drive economic growth, enjoying a leadership position in tractors, utility vehicles, information technology and vacation ownership. In addition, Mahindra enjoys a strong presence in the agribusiness, aerospace, components, consulting services, defence, energy, financial services, industrial equipment, logistics, real estate, retail, steel and two wheeler industries. The group as on 31 December 2013 comprised of 119 subsidiaries, 7 joint ventures and 12 associates.
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