The company, owned by Indian billionaire Anand Mahindra, said it sold 85,858 vehicles during the quarter, up 190%, while its tractor sales jumped 52% from a year ago when the first wave of the COVID-19 pandemic triggered a nationwide lockdown.
Car makers, including Mahindra, have seen a recovery compared with last year, but they remain under pressure due to rising commodity prices, a global shortage of semiconductors and uncertainty due to the pandemic.
"Commodity inflation and semiconductor supply issues continue to be of concern," the company said in an exchange filing http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20210806:nBSEbLKQHN.
The Mumbai-headquartered firm reported a consolidated net profit of 4.24 billion rupees ($57.15 million) for the three months ended June 30, compared with a loss of 976.2 million rupees a year earlier.
The company's loss in the first quarter last year was at a time when the Indian auto sector -- already impacted by a bruising slowdown in demand -- was hit by pandemic related restrictions.
Last week, rival Tata Motors warned that a shortage of semiconductors, rising costs of raw materials and the pandemic-related uncertainty will have an impact on business in the short term.
Mahindra's revenue from the auto sector surged more than 190% during the quarter and it said the auto business was continuing to see a strong booking pipeline.
Its shares rose 0.95% by 0640 GMT, compared with a slightly weaker broader market that was down 0.13%.
($1 = 74.1860 Indian rupees)
(Reporting by Chandini Monnappa in Bengaluru; editing by Uttaresh.V)
