The gross revenues and other income of Mahindra & Mahindra Ltd. and MVML (Entity) during the quarter ended March 31, 2014, is Rs. 11297.2 crores as against Rs. 11342.3 crores in the previous year. During the quarter, the scheme of arrangement for the merger of the Trucks business of M&M’s subsidiary, Mahindra Trucks and Buses Ltd. (MTBL) with M&M, was approved by the High Court of Bombay. In view of this, the financials of the Trucks business of MTBL became a part of the current year financials of the company. Also due to the merger, the past unabsorbed tax losses related to the Trucks business became available to the company and there was a one-time tax saving during the year.
After giving effect to the development, the net profit after exceptional items and tax for the quarter is Rs. 967.7 crores against Rs. 962.9 crores in Q4 last year. Excluding the trucks business of MTBL, net profit after tax for the quarter is Rs. 975.6 crores and the operating margin is 14 per cent.
In the passenger utility vehicle segment, the company sold 60,900 vehicles in the fourth quarter with a market share of 43.3 per cent. In the cars segment, it sold 1,633 units. It also exported 8,335 vehicles during the quarter.
The gross revenues and other income of M&M and MVML during the year ended March 31, 2014, is Rs. 43,256.4 crores as against Rs. 43,655.3 crores in the previous year. The net profit after exceptional items and tax for the year is Rs. 3,905.1 crores (Rs. 3,634.4 crores), a growth of 7.4 per cent.
As for M&M standalone results, the gross revenues and other income of M&M Ltd. during the year is Rs. 43,838.2 crores (Rs. 43,961.8 crores). Net profit after exceptional items and tax for the current year is Rs. 3,758.4 crores (Rs. 3,352.8 crores). Excluding the impact of the merger, net profit for the quarter is Rs. 3,766.3 crores.
The Board of Directors has recommended a dividend of Rs. 13.50 (270 per cent) per share and a special dividend of Rs. 0.50 (10 per cent) per share of face value Rs. 5 aggregating Rs. 14 (280 per cent).
Despite a robust monsoon season and record agricultural output, manufacturing activity witnessed a contraction in 2013-14, its worst performance in over 20 years, and overall GDP growth dropped below five per cent for a second fiscal year in succession. However, looking forward, the company believes the economy will witness a decisive, albeit gradual, turnaround in growth in 2014-15.