Country’s largest carmaker Maruti Suzuki India (MSI) reported its first decline in quarterly profit in over four years as a dip in rupee value, rise in commodity prices and higher sales promotion expenses hit its margins.
The auto major, which has over 50 per cent market share in the domestic passenger vehicle segment, reported a 9.8 per cent decline in net profit at Rs 2,240.4 crore for the second quarter ended September 30.
The company had reported a net profit of Rs 2,484.3 crore for the same period of previous fiscal.
Net sales, however, rose marginally to Rs 21,551.9 crore for the quarter under review, as against Rs 21,438.1 crore a year earlier.
Sales dipped 1.5 per cent during the July-September period at 4,84,848 units as rising fuel prices and changes in insurance impacted overall buyer sentiment during the period.