The total revenue growth of Mahindra & Mahindra (M & M) 's marked increase of 30.5% year on year for Q1FY2012 wine slightly below our estimates. Operating profit exceeded the estimate due to cost rationalization efforts of the company. Profit after tax for Q1FY2012 (PAT) was also seen in a higher position than the estimates for the amount of Sharekhan Rs604.9 crore. The capital employed for the job increased by 40% over the previous year.
The company had seen an increase in spending on raw materials by 34% by value of 4. Rs 373 million rupees, also the purchase of goods sold increased 3-fold the amount of Rs 719 crore. M & M car passenger, commercial vehicles and two wheelers sales volume in the quarter increased 21% in the domestic market, while sales grew 14% tractors to 1.33 lakh units.
According to a statement from M & M, "The growth in company profits despite the relentless increase in material costs is due to good volume performance vehicles and tractors and a tight control on costs."