Maruti’s Second Quarter Profit Rises 93 Percent as Sales Surge

Maruti Suzuki India ltd sells almost half the cars in the country boosted second quarter profit by record 93 percent, after its new models stimulated local demand.

 The Indian unit of Japan’s Suzuki Motor corp. claimed that their net income in three months rose to 5.7 billion rupees, or 19.73 rupees per share from 2.96 billion rupees a year earlier.

In short the sales gained 47 per cent than last year to 70.5 billion rupees.

The sales of Maruti Suzuki’s Swift, Ritz and other models increased to 30 percent after the stock market gained and the cheap loan rates too played a crucial role in it.

Suzuki is also planning to launch new car models in the country, as the middle class in the country is growing and people are becoming more affluent and are moving up from two wheelers to four wheelers.

Maruti sold 246,188 vehicles including cars, vans as well as sport- utility vehicles in three months through September. This was 189,451 an year before.

Maruti’s share in the Indian market rose to 54.9 percent as of September 30.

Besides this, the share stock of the company almost tripled this year in Mumbai. It was come to known when it was declared yesterday on 23^rd October that Maruti’s share rose to 1.9 percent i.e. 1518.8 rupees.

Some Indian banks have lowered the interest rate on the cars and the government is also cutting the tax rates