Rupee devaluation and operating deleverage is likely to hurt margins, analysts said, adding that updates on production ramp-up and product launches will be key monitorables for the auto stock.
The quarter saw volume for the car maker falling 81 per cent YoY and 80 per cent sequentially.
Reliance Securities expects the company to report a loss of Rs 450 crore for the June quarter compared with a profit of Rs 1,435.50 crore.
The auto maker had reported a 28 per cent fall in bottom line in the March quarter and 27 per cent drop in profit in the year-ago quarter.
Sales are seen falling 79.8 per cent YoY to Rs 3,981.10 crore from Rs 19,719.80 crore in the year-ago quarter. Revenues were down 15 per cent in the March quarter and 14 per cent in the year-ago quarter.
“Realisation is expected to have grown marginally due to the product mix and price hikes. Negative operating leverage would impact margin significantly, the brokerage said.
Sharekhan sees losses at Rs 360 crore. It believes that sales realisation per vehicle for Maruti may drop 3 per cent on year-on-year basis, driven by adverse mix. “The company is expected to report EBITDA loss of Rs 335 crore due to negative operating leverage,” Sharekhan said.
Emkay Global also pegs Maruti’s losses at a similar Rs 366.80 crore. It sees sales falling 78 per cent to Rs 4,337 crore.
“Gross margin is expected to increase due to higher spare mix, lower input cost and reduction in discounts. Meanwhile, Ebitda margins are expected to contract due to a lower scale,” it said.
Motilal Oswal Securities loss estimate beats all at Rs 750 crore. It anticipates net operating revenues to drop 81.7 per cent to Rs 3,608.70 crore.