Ashok Leyland Q4 FY25: 38% YoY Profit Growth and 1:1 Bonus Share Announcement

Ashok Leyland, a leading commercial vehicle manufacturer in India, has reported a robust financial performance for the fourth quarter of the fiscal year 2024-25. The company’s standalone net profit surged by 38.4% year-on-year to ₹1,246 crore, up from ₹900 crore in the same quarter of the previous year. This significant growth is attributed to strong revenue generation and improved operational efficiency. 

Key Financial Highlights (Q4 FY25)

• Revenue from Operations: Increased by 6% to ₹11,907 crore, compared to ₹11,267 crore in Q4 FY24.  
• EBITDA: Rose by 12.5% to ₹1,791 crore, with an EBITDA margin expansion of 90 basis points to 15.04%.
• Profit Before Tax (PBT): Grew by 14% to ₹1,671 crore, up from ₹1,471 crore in the corresponding quarter of the previous year.  
• Cash Position: The company ended the fiscal year with a net cash surplus of ₹4,242 crore, a significant improvement from a net debt of ₹89 crore at the end of FY24.  

Operational Performance

• Commercial Vehicle (CV) Volumes: Total CV volumes for FY25 stood at 1,95,093 units, nearing the all-time high of 1,97,366 units.
• Medium and Heavy Commercial Vehicle (MHCV) Buses: Achieved the highest-ever volume at 21,249 units during the year.  
• Exports: Export volumes increased by 29% to 15,255 units, up from 11,853 units in the previous year.

Bonus Share Announcement

In a move to reward shareholders, Ashok Leyland’s board has approved a 1:1 bonus issue, granting one bonus equity share for every fully paid-up equity share held. This is the company’s first bonus issue in 14 years. The issuance is subject to shareholder approval through a postal ballot, with the record date to be announced subsequently. 

Stock Performance and Market Outlook

• Current Share Price: As of May 26, 2025, Ashok Leyland’s stock is trading at approximately ₹240.  
• 52-Week Range: The stock has seen a 52-week high of ₹264.65 and a low of ₹191.86.  
• Analyst Ratings: Analysts maintain a ‘Buy’ rating on the stock, with a target price of ₹256, citing strong financial performance and positive growth outlook.  

Ashok Leyland’s impressive Q4 results, coupled with strategic initiatives like the bonus share issue, reflect the company’s commitment to growth and shareholder value. Investors and market watchers will be keenly observing the company’s performance in the upcoming quarters.