Shares of Ashok Leyland Ltd surged 3% on Friday, 8 November, after the company announced its quarterly earnings for July-September. 

The company reported a 37% year-on-year (YoY) increase in net profit to Rs 770 crore for the quarter under review from Rs 561 crore reported in the same quarter of the previous fiscal year. 

However, the revenue from operations of the company during the quarter stood at Rs 8,769 crore, marking a 9% YoY decline from Rs 9,638 crore reported in the same quarter of the previous fiscal year. 

Moreover, the Board of Directors of the company also declared an interim dividend of Rs 2 per share for the current fiscal year. 

In its regulatory filing, the company said, “Owing to continued improvement in the company’s fiscal performance and a positive outlook for the balance half of the year, the Board has recommended an interim dividend of Rs 2 per share on face value of Rs 1.”

Dheeraj Hinduja, Executive Chairman, Ashok Leyland, said: “The Indian economy is expected to do well in the second half which would benefit our industry. We remain optimistic about industry prospects for H2 on the back of strong macroeconomic fundamentals, supported by resumption of Government spending in Capex and good monsoons.” 

Dheeraj added, “Our robust all-round performance in Q2 is backed by our technological and cost leadership. Internationally as well, we are intensifying our expansion strategy in our focus markets of SAARC, Middle East, Africa and Asia, aimed at posting the best performance ever during this fiscal. We continue to invest in new products with alternative fuels. Switch is doing well with an order book of nearly 2,000 buses.”

At 3:30 pm, the shares of Ashok Leyland closed 2.79% higher at Rs 221.93 on NSE.

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