Hero MotoCorp Q4FY2021 Results | Yadnya Investment Academy
Published on 10 May 2021|
Hero MotoCorp sold 15.86 lakh units of scooters and motorcycles in Q4FY21, an increase of 18.5% when compared to 13.23 lakh units sold in Q4FY20.
Revenue from operations stood at Rs. 8,686 in Q4FY21 crores as compared to Rs. 6,238 crores in Q4FY20, an increase of 39.2%.
The company reported an EBITDA of Rs. 1,211 crores in Q4FY21 with a EBITDA margin of 13.9%. In Q4FY20, the company had an EBITDA of Rs.660 crore.
Profit After tax grew 39.3% in Q4FY21 to Rs. 865 crores from Q4FY20 PAT of Rs. 621 crore.
Consolidated Revenue stood at Rs. 8,690 crore in Q4FY21 where as consolidated Pat was Rs. 885 crore.
Hero MotoCorp sold 58 lakh units of scooters and motorcycles in FY21.
Revenue from operation stood at Rs. 30,801 Crore in FY21 as compared to Rs. 28,836 in FY20, an increase of 6.8%.
The company reported an EBITDA of Rs. 4,019 crore with a EBITDA margin of 13% in FY21. EBITDA in FY20 was Rs. 3,958 crore.
Profit after tax declined by (18%) to Rs. 2,964 crores from Rs. 3,633 crore in FY20.
A recovery in the second half of FY21 helped the company gain strong volumes.
In a challenging environment created due to the COVID pandemic, the company grew its market share in motorcycles and scooters.
The company grew its presence in the premium segment which is going to be further strengthened by a strategic partnership with Harley-Davidson.
The company’s EV journey took went ahead in the next phase as the company entered into a partnership with Gogoro, the developer of the world’s largest battery-swapping network.
The company also increased its equity share in Ather Energy, an electric two-wheeler manufacturer in India, by making an additional investment of Rs. 174 crores which increased its shareholding in Ather Energy to 34.81%.
Strategic Partnership with Harley Davidson
The company has entered into an alliance with Harley-Davidson
With this partnership, the company aims to develop and sell a range of premium motorcycles under the Harley Davidson brand name.
The company also aims to sell General Merchandise riding gear apparel, parts and accessories through Hero MotoCorp’s existing dealership network in India and a network of brand-exclusive Harley-Davidson.
A dedicated business unit will be set up to manage Harley Davidson's business in the country.
The company has proposed a dividend of Rs. 25 per share and a special dividend of Rs. 10 per share. Together with interim and the dividends mentioned before, aggregate dividend comes to Rs. 90 per share.
The company has also declared a special dividend of Rs. 15 per share which takes the total dividend in FY21 to Rs. 105 per share.
The special dividend has been declared to mark the achievement of Rs. 100 million cumulative productions of two-wheelers.
You like to know more. We like that!
Please subscribe Model Portfolio Plan to get access of all premium model portfolio articles Only at Rs 7499/Year.