Ashok Leyland turnover at Rs. 11,117.71 crores, up by 54%

- Net Profit at Rs 631.30 crores, up 49%
- Records highest domestic and exports sales

Ashok Leyland , the Hinduja Group flagship, has registered a sales turnover of Rs 11,117.71 crores during 2010-11 compared to Rs 7,244.71 crores in the previous fiscal reflecting a rise of 53.5%. Net profit too rose by 49.0% to touch Rs 631.30 crores (Rs 423.67 crores).

The Company recorded the highest volumes both on the domestic and the international operations fronts. While domestic volumes jumped 45% to touch 83,800 vehicles as against 57,947 vehicles for the previous fiscal, exports surged by 72% to reach 10,306 vehicles (5,979 vehicles).

"FY 2010-11 has indeed been a watershed year for Ashok Leyland," is how Mr. Vinod K. Dasari, Managing Director, Ashok Leyland, described the year. "Apart from recording the highest domestic and exports volumes, our production hit an all-time high, we introduced the highest number of products into the market, the ramp-up at our Pantnagar plant was the fastest and our customer touch points saw the highest increase in numbers very much in consonance with our business strategy of customer-centricity. Truly it was a year of records." he added.

This commendable performance at the market place translated into all-round market share gains for the Company. In the M&HCV segment, Ashok Leyland's share rose by 2.4 percentage points to reach 26%. Gains were recorded in all the various product segments as well as in all the regions with the Company maintaining its leadership position in the passenger segment.

The Company's de-risking strategy of developing non-cyclical businesses paid rich dividends with the Spare Parts and Defence posting impressive growth of 20% over last year. Another note-worthy aspect was the performance of the Power Solutions Business which was able to post decent numbers by garnering business outside the Telecom sector that had collapsed from Rs. 243 crores to almost next to nothing.

About the prospects for the current year, Mr. Dasari said, "2011-2012 is going to be a year of growth and consolidation for Ashok Leyland in quest of our vision to be among the global top 10 in trucks and top 5 in buses. The launch of 'DOST' from the Ashok Leyland-Nissan stable will make the Company a full range CV player. On the exports front, our focus will be on consolidating our presence in the SAARC markets while at the same time target the growing markets of Asia, Africa and CIS. Rising interest costs and diesel prices are going to be growth dampeners but since the fundamentals remain strong and the economy continues to be on a growth trajectory, we are cautiously optimistic of the future".