Force Motors Q1 Results: Net profit rises 69% to Rs 116 cr on high demand

CV sales in India are often seen as an indicator of economic activity.

Indian automaker Force Motors reported a 69 percent rise in quarterly profit on Tuesday, as the company benefited from rising demand, sending its shares up 10 percent.

The company, which also makes engines for BMW and Mercedes cars in India, reported consolidated net profit rose to Rs 116 crore (about $14 million) in the April-June quarter, from Rs 6,856 lakh a year earlier.

Force, a maker of commercial vehicles including vans, school buses and ambulances, reported a 27 percent increase in revenue to Rs 1,885 crore during the quarter, driven by a 10 percent increase in sales volumes.

CV sales in India are often seen as an indicator of economic activity.

CV appliance manufacturers reported a 3.5 percent increase in sales in the April-June period, beating market expectations. Analysts had expected a drop in sales due to the general elections in India in the quarter.

According to an industry body, economic growth, favourable government policies and a likely good monsoon are expected to boost demand in the CV sector in fiscal 2025.

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First print: Jul 30, 2024 | 4:02 PM IST