The shares of one of the largest 2-wheeler manufacturers gained up to 3 after the company signed a Memorandum of Understanding (MoU) with Guidance, the Nodal Agency of the Government of Tamil Nadu for an Investment of Rs. 5000 Cr in 5 years.
With a market capitalization of Rs 96,663.60 crore, the shares of TVS Motor Company Ltd were trading at Rs 2,034.65 per share, increasing around 2.80 percent as compared to the previous closing price of Rs 1,979.25 apiece.
According to the company filing, TVS Motor Company Ltd signed a Memorandum of Understanding (MoU) with Guidance, the Nodal Agency of the Government of Tamil Nadu for an Investment of Rs. 5000 Cr in 5 years and employment of 500 people by TVS.
In addition to the above paragraph. The government of Tamil Nadu will provide facilitation and support to TVS in the form of necessary infrastructural support and regulatory facilitation subject to applicable laws.
Looking at the company’s finances, TVS Motor Company Ltd’s revenue climbed by 16 percent from Rs 8,560.76 Crore in Q2FY23 to Rs 9,932.82 Crore in Q2FY24. During the same time period, net profit climbed by 11 percent, from Rs 373 crore to Rs 416 crore.
The company sold 0.91 lakh autos last year, a tenfold increase. In Q4 2022-23, almost one in every five EV two-wheelers sold was a TVS iQUBE. The company expanded its geographical footprint to 130 towns, and its ICE distribution network now includes 600 plus communities.
TVS Motor Company Ltd reported a return ratio rise from the previous fiscal year, with a return on equity (ROE) increasing from 17.77 percent to 26.44 percent and a return on capital employed (ROCE) increasing from 11.32 percent to 14.11 percent.
TVS Motor Company Ltd (TVSM) manufactures two-wheelers and their accessories; it now produces a large range of two-wheelers and three-wheelers.
Written by:- Abhishek Singh
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