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Force Motors has reported a significant jump in its profits for the fourth quarter of the financial year 2025. The company’s consolidated net profit surged by 209.93% compared to the same period last year, reaching ₹434.71 crore for the quarter ending March 31, 2025. In Q4 FY24, the net profit was ₹140.24 crore. The revenue from operations also saw an increase of 17.14%, amounting to ₹2,356.01 crore in Q4 FY25.
Strong Profit Growth
The company’s profit before tax (PBT) for the quarter showed an even larger increase, rising by 211.51% to ₹667.81 crore compared to the previous year. However, a large portion of this profit boost came from a one-time government incentive of ₹395 crore. This was an exceptional income, meaning it was a one-off event and not part of the company’s usual business operations.
Without this special income, Force Motors still saw positive profit growth, mainly due to strong sales in their multi-seater van segment, which is used for school transport and ambulance services. These vehicles helped drive better sales volumes for the company.
Revenue and Expenses
Force Motors earns about 56% of its revenue from commercial vehicle sales, while the rest comes from contract engine manufacturing for brands like BMW and Mercedes-Benz in India. The commercial vehicle industry has been doing well, thanks to increased government spending and higher demand for passenger carriers during this period.
On the expense side, the company’s total expenses rose by 16.03%, reaching ₹2,105.91 crore, which is in line with the revenue growth. The cost of materials used by Force Motors increased by 11.7%, and employee benefit costs grew by 19.46% to ₹191.50 crore.
One positive aspect was the finance costs, which decreased by 49.2% to ₹7.26 crore, thanks to lower borrowings and better cash flow management.
Full-Year Performance
Looking at the full financial year 2025 (FY25), Force Motors achieved a net profit of ₹800.74 crore, which was a 106.33% increase compared to the previous year’s ₹388.22 crore. The company’s revenue from operations for the year rose by 15.44%, reaching ₹8,071.73 crore.
This strong growth reflects a mix of increased sales in various segments, including commercial vehicles and contract manufacturing, along with improved operational efficiencies. The company also benefited from favorable industry trends that supported its growth.
Dividend Announcement
The Board of Directors has recommended a dividend of ₹40 per equity share for FY25, which will be subject to shareholder approval.
Stock Performance
Despite a 1.2% drop in Force Motors’ stock price on the day before the results were announced, the company’s shares have seen a 38.9% rise over the three months leading up to March 31, 2025. This increase reflects positive sentiment surrounding the company’s future prospects.
Outlook
Force Motors is continuing to focus on strengthening its position in the commercial vehicle market and its contract manufacturing business. While the recent results were boosted by a one-time government incentive, the company’s ongoing operational improvements, cost control strategies, and diversified business model are expected to support its performance going forward.
Overall, Force Motors is well-positioned for future growth, with a solid base in both the commercial vehicle sector and high-quality engine manufacturing for global brands.
