Oct 29 Reuters India39;s top carmaker Maruti Suzuki reported a lowerthanexpected secondquarter revenue on Tuesday, weighed down by a double whammy of lower sales and rising discounts, sending its shares 5 lower.
The 39;Brezza39; SUV manufacturer39;s standalone revenue from operations rose 0.4 to 372.03 billion rupees 4.43 billion for the JulySeptember quarter, while analysts expected it to rise 1.4 to 375.59 billion rupees, per data compiled by LSEG.
Maruti Suzuki39;s profit, meanwhile, dropped for the first time in nearly three years, largely due to a deferred tax liability of 8.38 billion rupees to account for the government retroactively removing longterm tax benefits for investments before April 2023.
However, excluding the deferred tax liability, profit increased yearonyear.
Maruti Suzuki kicks off secondquarter earnings for the world39;s thirdlargest car market, where sales to domestic dealers declined for the first time in over two years between July and September.
Lukewarm demand for new cars has forced manufacturers to moderate dispatches to dealers and dish out higher discounts to attract buyers as showroom owners grapple with rising levels of unsold cars.
Maruti39;s overall sales volumes in the quarter fell 2 yearonyear, hurt by a continued drop in the sales of small cars its biggest segment while sales of its highmargin utility vehicles were little changed.
The utility vehicles segment houses the likes of the 39;Brezza39; SUV and the 39;Ertiga39;…