Shares of Maruti Suzuki India Ltd. are trading flat after touching a day’s high of Rs 12,388.50 on 8th August, after the company issued a recall for 2,555 Alto K10 cars due to a possible defect in the steering-gear box assembly, which may affect steerability in rare cases.

Maruti Suzuki has advised its customers not to drive the affected vehicles until the defective part of the steering-gear box assembly is replaced. The former company will provide a free inspection and replacement of the same.

The owners of affected vehicles would be contacted through the authorised dealer workshops for free inspection and replacement. The new model of the Alto K10 was launched on 18th August 2022, with new features and a remodelled hatchback version.

In FY24, Maruti Suzuki sold 49,990 models in the mini car segment, which includes the Alto and S-Presso models.

The company had earlier recalled 11,851 Baleno and 4,190 WagonR units manufactured between 30th July, 2019, and 1st November, 2019, as part of the global exercise to rectify a possible defect in the fuel pump motor that could lead to engine stalling or starting problems.

In Q1 FY25, the company reported a 46.9% year-over-year increase in standalone profit to Rs 3,650 crore, exceeding estimates of Rs 3,467 crore. Quarterly revenue rose by 10% to Rs 35,531 crore, surpassing the estimated Rs 34,565 crore.

The company sold 521,868 vehicles in Q1 FY25, a 4.8% increase from the same quarter the previous year. Domestic sales were 451,308 units, up by 3.8%, and export sales were 70,560 units, up by 11.6% compared to the same quarter the previous year.

At 11:24 AM, the shares of Maruti Suzuki were trading 0.98% lower at Rs 12,254.75 on BSE.

Discover the next big investment! Unicorn Signals’ IPO screener helps you identify promising initial public offerings. Download Unicorn Signals and get ahead of the curve! Sign Up Now & Find Your Next IPO Gem!