MRF Ltd reported a 29% YoY rise in Q4FY25 profit to ₹512 crore, declared ₹229 final dividend, and the stock price saw a 24% jump in one month.
The share price of MRF Ltd rose over 2% in early trade to an intraday high of ₹1,43,275 on May 8. As of 02:24 PM, the stock is trading at ₹1,38,945, down 1.05%. Over the past month, the stock price has increased by 24%, and it is up 11% over the last 12 months. Over a 5-year period, the stock has delivered returns of 134%. Yesterday, the stock jumped over 6% from its day's low after the company announced its Q4FY25 and FY25 results.
MRF Ltd reported a 29% year-on-year increase in consolidated net profit to ₹512 crore for Q4FY25, compared to ₹396 crore in Q4FY24. Revenue from operations rose 11% YoY to ₹7,075 crore. On a sequential basis, the company reported a 1.05% growth in consolidated revenue, while net profit saw a 62.33% increase.
For the year ended March 31, 2025, MRF’s consolidated revenue stood at ₹28,561 crore, compared to ₹25,486 crore in the previous year, marking a growth of 12%. However, after accounting for tax expenses, the consolidated net profit for FY25 was ₹1,869 crore, down from ₹2,081 crore in FY24. Despite the increase in revenue, the decline in annual profit was due to higher input costs.
For the financial year ending March 31, 2025, the Company reported consolidated export revenues of ₹2,321 crore, marking a growth of approximately 23% over the ₹1,887 crore recorded in the previous year. All three market segments, Replacement, Institutional, and Export experienced robust performance during the year. The momentum continued in the fourth quarter, with consistent gains seen across Original Equipment, Export, and Replacement categories.
The Company has also maintained a notable presence in the electric vehicle space, supplying tyres to major Original Equipment Manufacturers (OEMs) across commercial vehicles, passenger cars, and 2/3 wheelers. A series of new Stock Keeping Units (SKUs) launched across multiple categories Passenger, Motorcycle, Truck, LCV, and OTR contributed positively to the growth trajectory this year.
While raw material costs saw a slight decline in Q4 compared to Q3, the benefits were somewhat offset by the depreciation of the Indian Rupee against the US Dollar. However, the Company implemented price hikes during the year, which helped cushion the impact of increased input costs.
MRF has also announced a final dividend of ₹229 per share for financial year 2025. This is in addition to the ₹6 per share it had already paid earlier in November 2024 and February 2025, ₹3 each time. With this, MRF's total dividend for the financial year 2025 stood at ₹235. The company at the end of the financial year 2024 had approved a final dividend of ₹194 per share.
In 2024, MRF announced a final dividend of ₹194. In the preceding year, 2023, the company had declared a final dividend of ₹169. This followed a dividend of ₹144 in 2022. In both 2021 and 2020, the company announced a final dividend of ₹94.
Disclaimer: The article is for informational purposes only and not investment advice.
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