Chennai: Two and three-wheeler manufacturer TVS Motor Company has reported over 41 percent decline in its Profit After Tax for the second quarter ending September 30, 2012.
The Chennai-based company registered PAT at Rs 45 crore for the July-September quarter, down by 41.5 percent, from Rs 77 crore registered during the same period last year.
The group revenues dipped 15 percent to Rs 1,691 crore, during the quarter, as against Rs 1,991 crore registered during the same period of last year.
Sales of motorcycles declined to 1.67 lakh units for the second quarter of the 2012-13 fiscal, as against 2.41 lakh units registered in the comparable period last year.
The company also witnessed a decline in sales of scooters at 1.19 lakh units for the quarter, from 1.59 lakh units registered during the same period of last year.
On the exports front too, the company reported a slump in sales at 0.48 lakh units in the quarter, as against 0.76 lakh units during the corresponding period last year.
However, the company said sales of three-wheelers grew to 12,213 units during the period ending September 30, 2012 from 11,699 units sold during the same period of last year.
The company, in a statement, attributed lower sales to overall sentiment of the industry, which witnessed a decline in growth to five percent in the second quarter from a growth of 19 percent in the same period of previous year.
"Between April and September of the current financial year, the industry declined to a growth of a mere two percent when compared to 19 percent in the same period of previous year," it said.
A weak economic scenario, high inflation, rising fuel prices, high interest rates and poor monsoon in South India affected sales, it added.
However, retail sales for the festival season in the October 2012 have been encouraging, the statement added.
PTI
First Published: Wednesday, October 31, 2012, 16:47