ICICI Securities forecasts a strong year-on-year performance for Mahindra & Mahindra in its fourth-quarter results. The brokerage projects net profit to surge 45.2% from a year ago to Rs. 3,539.5 crore for the January-March period.
Sales Momentum and Profitability
Revenue is also set for significant year-on-year growth. ICICI Securities anticipates net sales will climb 21.4% annually to Rs. 38,062.1 crore. Earnings before interest, tax, depreciation, and amortization (EBITDA) are expected to rise by the same 21.4% year-on-year, reflecting strong operational performance and cost management over the full year.
Quarter-on-Quarter Trends
Looking at the quarter-on-quarter performance, a slight cooling is expected. Net sales are forecast to be down 1.2% compared to the previous quarter, with EBITDA projected to see a similar 1.2% decrease. Potential reasons include year-end inventory adjustments, seasonal demand shifts, or changes in the product mix.
Outlook
ICICI Securities' analysis highlights strong annual financial performance for Mahindra & Mahindra, contrasting with the expected sequential dip. Analysts will be monitoring the company's ability to maintain this growth into the next fiscal year.
