Bajaj Auto Q2 net zips ahead 62%

If the first Q2 results from the automobile sector is any indication, then it’s a rosy ride ahead. Bajaj Auto, the Rs 6,000-crore bike major, reported robust Q2 results on Saturday, beating expectations that continue to see a boom in the world’s second-largest market for motorcycles.

With motorcycle sales jumping 32 per cent (against the industry growth of 22 per cent), exports climbing 35 per cent, and two- and three-wheeler sales up 25 per cent from 2004, the company reported a Rs 2,003 crore turnover for the second quarter of 2005-06. That is a 30 per cent jump over the corresponding period last year.

Profit after tax stood at Rs 290.8 crore, a 62 per cent jump over the same period last year.

Story continues below this ad

Executive Director Sanjiv Bajaj said sales of two- and three-wheelers were the highest in September — 2.18 lakh — and added that growth in profits were ‘‘largely driven by the core automotive business’’.

He said capacity constraints for the entry-level Bajaj CT100, which had sold over 1 lakh units in September alone, would be overcome this month. With the premium Pulsar and ‘value-segment’ Discover also showing significant growth, Bajaj said motorcycle capacities were being increased to 2 lakh per month.