The country's leading auto major has surely been the apple of the eye of many industry experts but it's recently announced Q1 results for the fiscal have been a party spoiler. In fact, the company has reported a 20% decline in net profit at Rs 465 crore for the first quarter on higher raw material costs and royalty and lower other income.

While many expected its profit to go up by a decent 10-15%, a 20% fall has taken many by surprise. The total sales for the company increased 27% to Rs 8,051 crore but it wasn't able to maintain a healthy bottom line and hence faced a consequence. It is to be mentioned here that the company spent close to 60.80 billion rupees in buying vital commodities like steel, aluminum and other raw materials in the quarter, which was up
26% from the year-earlier period.

The company said that the income from exports to Europe fell due to weakening of the euro but refrained from elaborating on it. However, the company is expecting to make a comeback in the coming quarters and expects it close the fiscal on a healthy growth rate.