M&M net slips 6% in Q3 as SsangYong drags

Homegrown farm equipment and utility vehicles major Mahindra & Mahindra Ltd (M&M) on Friday reported a 6 per cent fall in its consolidated profit after tax from continuing and discontinued operations to Rs 159.6 crore for the December 2020 quarter.

The company had posted a consolidated profit after tax from continuing and discontinued operations of Rs 170.69 crore in the corresponding period last fiscal, M&M said in a regulatory filing.

Its consolidated revenue from operations during October-December 2020 stood at Rs 21,625.95 crore, against Rs 19,430.29 crore in the year-ago period, it added.

"In the consolidated financial statement, the loss from operation of SYMC (SsangYong Motor Company), including impairments, aggregating to Rs 1,938.35 crore, and

Mahindra hints at hiking vehicle prices in Q1 next fiscal due to rising commodity prices M&M announced appointment of Manoj Bhat as Group Chief Financial Officer wef from April 2

gain on deconsolidation of SYMC as a subsidiary aggregating to Rs 940.03 crore, resulted in a net loss of Rs 998.32 crore, which has been presented as profit/loss from discontinued operations," the company said.

Out of this net loss, M&M said Rs 563.84 crore is attributable to the company.

SYMC filed an application before the bankruptcy court for commencement of rehabilitation proceedings on December 21, 2020.

It is now preparing and plans to submit a pre-packaged rehabilitation plan (p-plan) with equity investment from an investor and debt from local lenders.

There is no increase in M&M exposure as compared to the second quarter of 2020-21, it added.

On a standalone basis, M&M posted a 90 per cent decline in profit after tax at Rs 30.93 crore as against Rs 306.55 crore in the yearago quarter, the filing said.

The company has recognised an impairment of Rs 1,210.48 crore in the standalone results.

Standalone revenue from operations was at Rs 14,215.90 crore as against Rs 12,345.29 crore a year ago.