Price hikes, higher sales volumes, and a lowering in input costs will likely have tractor and SUV maker Mahindra & Mahindra reporting good profit and revenue numbers in the June quarter, with growth seen both on-year and on-quarter.

The Street has estimated net profit at Rs 1,906 crore, up 33 per cent on-year, and revenue at Rs 23,892 crore, up 22 per cent on-year.

EBITDA is seen at slightly over Rs 3,000 crore, much higher than the Rs 2,341 crore reported a year ago and around Rs 2,800 crore reported in the March quarter. Commensurately, the operating profit margin is seen in the range of 12.7 to 13 per cent.

Also read: Mahindra & Mahindra back in black with ₹2,361 crore net profit in Q1

In the June quarter, the company had reported a near 11 per cent rise in sales volume, with the dispatch of over 3 lakh units, including both tractors and passenger vehicles. It had sold more SUVs and 3-wheelers in the quarter compared to a year ago, while it sold more tractors compared to quarter ago.

Its SUV sales rose around a third on-year to over 1 lakh units, while its tractor sales rose around 28 per cent sequentially to 1.2 lakh units.

Mahindra & Mahindra will announce its results later in the day. At 10.15 am its shares were flat with a downward bias at Rs 1,468.30 on the NSE.

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