Maruti Suzuki to increase prices of its cars by up to 4% from January 2025 – CNBC TV18

India’s largest passenger car manufacturer, Maruti Suzuki India Ltd. announced on Friday, December 6, that it has plans to increase the prices of its cars starting January 2025.

In an exchange filing, Maruti said that the price hike will be up to 4% and will vary depending on the model.

Maruti Suzuki attributed the intention to increase prices to rising input costs and operational expenses.

“While the company continuously strives to optimise costs and minimise the impact on its customers, some portion of the increased cost may need to be passed on to the market,” Maruti Suzuki said in its statement.

For the September quarter, Maruti Suzuki’s Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) fell to a three-quarter low, while margin narrowed by 100 basis points to 11.9%.

The EBITDA margin for the quarter was 20 basis points lower than the CNBC-TV18 estimate of 11.7%.

Flat realisations, higher promotion expenses dragged margins to the lowest in five quarters.

Shares of Maruti Suzuki India are off the lows of the day post the announcement, currently trading 0.5% higher at ₹11,233.4. The stock is down 18% from its peak of ₹13,680.

For the year so far, shares of Maruti Suzuki have gained 9%.