Ashok Leyland Q4 results: Net profit rises 38%, EBITDA advances 12%; company announces bonus issue in ratio of 1:1

Ashok Leyland, the country's leading commercial vehicle maker, on Friday, May 23, reported net profit of ₹1,246 crore in January-march quarter, marking an upside of 38% from ₹900 crore in the same period last year.

Ashok Leyland's revenue from operations rose 6% to ₹11,907 crore in fourth quarter of financial year 2024-25 as against ₹11,267 crore in the year-ago period.

The Chennai-based company reported stable operational performance as its earnings before interest, taxes, depreciation, and amortisation (EBITDA) also known as operating profit rose 12.5% to ₹1,791 crore from ₹1,592 crore in the same period last year. Its EBITDA margin expanded by 90 basis points to 15.04% from 14.13%.

The company's board approved issuing bonus shares in ratio of one bonus shares of every one share held.

"The Board had approved Issue of Bonus equity shares in the ratio 1 : 1 i.e. 1 (One) equity shares of ₹1/- each for every 1 (One) full paid-up equity share of ₹ 1/- each held by the Shareholders of the Company as on the Record Date, subject to the approval of Shareholders through a Postal Ballot. The Company will inform the “Record Date” for determining the entitlement of the Shareholders to receive Bonus Shares in due course," Ashok Leyland said in an exchange filing.

In financial year 2024-25, overall commercial vehicle (CV) volumes came in at 1,95,093 units were very close to the previous high of 1,97,366, Ashok Leyland said.

"MHCV buses recorded ever highest volume of 21,249 units during the year. Export volume was also one of the highest in many years at 15,255 units, registering a growth of 29% over PY (11,853). The Power Solutions and Defence Businesses also posted impressive growth. The robust performance was driven by exceptional contribution from all business segments and well supported by the subsidiaries," Ashok Leyland said.

“Achieving these record-breaking numbers is a matter of immense pride for us. It reflects the resilience of our business and the trust our customers place in us. Given Company’s strong financial performance in the last three years, the Board of Directors has approved a 1:1 bonus share issue. This is on the back of two interim dividends announced for FY25 amounting to 625%, or ₹6.25 per share. With our unwavering focus on innovation and customer satisfaction, and thrust in international operations, we are well-positioned for sustained and profitable growth,” said Dheeraj Hinduja, Chairman, Ashok Leyland.

Ashok Leyland shares ended 0.21% lower at ₹238.25, underperforming the BSE200 index which rose 0.82%.