Maruti Suzuki Q4 Net Profit Declines 4.3% on Higher Operating Costs

Maruti Suzuki, India’s largest carmaker, reported a 4.3% year-on-year decline in standalone net profit to Rs 3,711 crore for the fourth quarter of FY25, compared to Rs 3,877 crore in the same period last year. The decline was primarily due to higher operating expenses. Operating EBIT during the quarter fell 14.2% to Rs 3,392 crore, down from Rs 3,956 crore a year ago. As a percentage of net sales, the EBIT margin declined by 210 basis points to 8.7%.

The quarter witnessed increased material costs (75.1% of net sales), higher employee and overhead expenses, as well as elevated advertising and sales promotion spend. New plant-related expenses linked to the upcoming Kharkhoda facility also impacted margins. However, higher non-operating income helped cushion some of the pressure.

Despite the profit decline, Maruti Suzuki achieved its highest-ever quarterly sales volume, selling 604,635 vehicles—up 3.5% year-on-year. Domestic sales rose by 2.8% to 519,546 units, while exports grew 8.1% to 85,089 units. Net sales for the quarter increased 5.9% to Rs 38,848.8 crore, from Rs 36,697.5 crore in Q4 FY24.

The Board of Directors recommended a dividend of Rs 135 per share (face value Rs 5), up from Rs 125 per share in the previous fiscal, the company said in an exchange filing.

Maruti Suzuki Retains Top Exporter Spot for 4th Consecutive Year

For the full fiscal year, Maruti Suzuki posted a net profit of Rs 13,955.2 crore, up 5.6% year-on-year. Total vehicle sales for FY25 reached 2,234,266 units, reflecting 4.6% growth. Net sales rose 7.5% to Rs 145,115.2 crore, while EBIT grew 9.3% to Rs 14,625.9 crore.

Japan's Suzuki Motor owned company sold a total of 2,234,266 vehicles during the year, comprising 1,901,681 units in the domestic market and 332,585 units in the export market.  

The company noted that domestic market growth remained muted in FY25. “For the company, a modest domestic sales growth of 2.7% was compensated by a healthy 17.5% export growth, leading to an aggregate growth of 4.6% for the year,” it added.

Following the results announcement, Maruti Suzuki shares fell. The trade closed at Rs 11,685.90 per share on the BSE, down over 1% from the previous close.