The country's largest car maker, Maruti Suzuki India, reported nearly two-fold jump in its net profit for the second quarter of FY'10 at Rs 570 crore.
The company attributed the rise in profit to favourable conditions in the domestic market like stimulus packages of the government. It also said in the BSE release that buoyant semi-urban market, low interest rates, improved financing by government banks, low inflation and low oil prices helped post good numbers.
The company had a net profit of Rs 296.12 crore during the same quarter of last fiscal.
It also reported 46.67 per cent jump in its net sales for the quarter ended September 30, 2009, at Rs 7,049.58 crore, against Rs 4,806.26 crore during the corresponding quarter of 2008-09, the company added.
During the quarter, Maruti Suzuki's volume in the domestic A2 segment grew by 29.7 per cent, while in the A3 segment the sales volume grew by 28.8 per cent as compared to sales in July-September 2008.
The company's domestic market share amongst passenger car moved from 54.2 per cent to 54.9 per cent in Q2 of the fiscal.
On volumes, the company remains cautiously optimistic in near future, Maruti Suzuki India said in a statement. At the same time, margins in the future may be under pressure due to hardening of commodity prices and strengthening of Yen as stated in the release.