Mahindra & Mahindra reports net loss of Rs 3,255 crore in Q4 FY2020: International businesses key reasons – Financial Express

In the short term, Mahindra & Mahindra’s focus will be to manage cash, operating margins and safety. Between September and March, there will be a very clear focus on core domestic businesses, the company stated. The company says that it will work towards conserving today for a stronger tomorrow, manage cash and then turn around the global businesses.

In times when conserving cash is critical to survival, Mahindra and Mahindra (M&M) has taken some tough decisions on loss-making international subsidiaries, which severely dented its March quarter earnings. The company has decided to shut down the electric scooter and bike business in the US and has also decided not to invest any further in Ssangyong. The company, which was expected to report a profit for the March quarter, actually ended up reporting a loss of Rs 3,255 crore, 80% of which was due to two international businesses. Losses from international subsidiaries have been persistent overt the last three fiscal years and dragged the return on equity, forcing the company to take a relook at