Hero MotoCorp shares rises marginally by 0.46%, after 24% rise of Q4FY25

Hero MotoCorp has reported an impressive growth in its consolidated profit after tax (PAT) for the year ending FY25. The consolidated PAT of the company grew by 17 percent to ₹4,376 crore during FY25 from ₹3,742 crore during FY24. This is in addition to a growth in total income, which went up to ₹41,967 crore during the last fiscal from ₹ 38,643 crore during FY24.

Sales Performance & Growth Drivers

Hero MotoCorp registered a 5 percent rise in overall bike and scooter sales for FY25 at 58.99 lakh units from 56.21 lakh units in FY24.

In the fourth quarter (Q4) alone, the company sold 13.81 lakh units, down marginally from the 13.92 lakh units sold in the same quarter of FY24.

The firm attributes its success to robust growth in the premium, scooter, and electric vehicle (EV) segments, driven by multiple new product launches. It reports strong retail traction for its newly introduced premium and scooter models.

Expansion in the 125cc segment and future EV product launches are also poised to put the company on strong footing for continued momentum. Export volumes also bettered industry trends.

Dividend Announcement

The board of the company has sanctioned a final dividend of ₹65 a share, on a face value of ₹2 per share, amounting to 3,250 per cent, subject to shareholders' approval.

Management Commentary and Future Outlook

Management expressed optimism regarding the near to mid-term outlook, citing key macroeconomic factors expected to support industry growth. These include revised income tax slabs, potential repo rate cuts, a recovering rural economy, and favorable monsoon forecasts.

The company also reported an expansion of its premium retail footprint across India as well as entry into new international markets.

Additionally, during the board meeting, the leadership acknowledged and appreciated the national administration's efforts in addressing terror threats.

Market Reaction

Hero MotoCorp shares are trading at ₹4,082 on the BSE, reflecting a 0.46% increase from the previous close of ₹4,063.60.

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