Hero MotoCorp's fourth quarter net up 20 percent

New Delhi/Mumbai, May 2 (IANS) Hero MotoCorp, the world's largest two-wheeler maker, Wednesday reported a 20.33 percent rise in net profit for the fourth quarter of fiscal 2011-12 at Rs.603.59 crore from Rs.501.61 crore for the quarter that ended March 31, 2011.

The company informed the Bombay Stock Exchange (BSE) that its total income in the quarter under review rose 12.22 percent at Rs.6,139.90 crore from Rs.5,471.30 crore for the corresponding quarter of 2010-11.

The company sold a total of 15,72,027 units in the quarter under review. The earnings before interest, taxes, depreciation and amortization (EBIDTA) margin for the quarter stood at 15.33 percent.

Total turnover, including net sales and other operating income, in the period under review grew by 11.95 percent at Rs.6,035 crore from Rs.5,391 crore achieved in the corresponding quarter of 2010-11.

For the full fiscal 2011-12, the company's net profit grew 23.35 percent at Rs.2,378.13 crore as compared to Rs.1,927.90 crore for the year ended March 31, 2011.

The company sold over 62,35,205 units in 2011-12 with an operating margin of 10.69 percent. The two-wheeler maker's total income in the last fiscal rose by 21.61 percent at Rs.23,943.60 crore for the year ended March 31, 2012 from Rs.19,687.55 crore in 2010-11.

'FY'12 was a year when we demonstrated not just our intent and vision for the future, but also our ability to consistently deliver. Even as we successfully made the transition to a new brand identity, we went on setting new industry benchmarks,' said Pawan Munjal, managing director and chief executive.

Munjal said the company was actively looking at export opportunities in Africa and Latin America and that two-wheelers will be shipped out to some of these markets in the first half of the current fiscal.

'We are actively looking at new markets in Africa, Latin America and other parts of the world to expand our global footprint. Our exports to some of these markets will commence in the first half of this fiscal,' Munjal said

'To be able to meet growing demand for our products, we are also adding capacity at our three existing plants.'

To partially offset the rising input costs, the firm has raised prices on most of its products by Rs.500-Rs.1,000 effective from May 2.

The board of directors have recommended a final dividend at the rate of 2,250 percent or Rs.45 per equity share of Rs.2 each for the 2011-12 fiscal year.