Bajaj Auto Q3 Results Preview: Net profit, revenue may rise over 30% YoY led by volume growth, rich product mix

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Bajaj Auto Q3 Results Preview: Bajaj Auto will announce its October-December quarter results for fiscal 2023-24 (Q3FY24) on Wednesday, January 24. The two and three-wheeler major is expected to report robust growth in net profit and revenue driven by volume growth, price hikes, and a better product mix in favour of premium vehicles, according to estimates by analysts and leading brokerage houses. The net profit of the auto original equipment manufacturer (OEM) is expected to rise 33 per cent year-on-year (YoY) to ₹1,987 crore and revenue may rise 31 per cent to ₹12,258 crore.

The surge is likely driven by a 22 per cent YoY growth in volumes and rise in average selling price (ASP) on rich product mix. Also Read: Bajaj Auto stock jumps nearly 6%, hits fresh record high as board approves ₹4,000-crore share buyback The expansion of premium two-wheeler segment and greater number of three-wheelers have driven ASP in the December quarter, according to estimates by the brokerage firms. Earlier this month, Bajaj Auto's board approved a share buyback program amounting to ₹4,000 crore, with shares priced at ₹10,000 each, equivalent to 1.41 percent of Bajaj Auto's outstanding shares.

Bajaj Auto reported a 32 per cent YoY growth in sales volumes at 12,00,997 units in the December quarter. The company reported a total sales of 3,26,806 units in December 2023, registering a growth of 16 per cent from 2,81,514 units sold in December 2022. The domestic sales last month increased 28 per cent to 1,90,919 units from 1,48,583 units YoY.