“A Descriptive Study of Profitability Analysis of Automobile Industry in India (Special Reference to Maruti Suzuki Ltd.)

Abstract

The present study examines the profitability performance of the Indian automobile industry with special reference to Maruti Suzuki Ltd. The automobile industry plays a significant role in economic growth, industrial development, employment generation, and contribution to India’s GDP. This research adopts a descriptive and analytical approach based on secondary data collected from annual reports, journals, books, and internet sources. The study evaluates the financial performance of Maruti Suzuki for the period 2018–19 to 2023–24 by analyzing key profitability indicators such as Gross Revenue, Revenue from Operations (Net), Total Operating Revenue, Other Income, and Total Revenue. The findings reveal fluctuations in the company’s profitability, with a decline in revenue during 2019–20 and 2020–21 followed by substantial growth from 2021– 22 onwards. The study concludes that although Maruti Suzuki has shown significant improvement in revenue generation in recent years, profitability remains unstable due to changing cost structures and market conditions. The study suggests the adoption of effective cost control measures, budgetary control systems, and strategic management practices to enhance financial performance and sustain long-term growth.