New Delhi, May 6 -- Mahindra & Mahindra Ltd's (M&M) standalone performance for the March quarter (Q4FY25) was commendable. A striking feature in Q4 results was the farm equipment segment's Ebit margin, which rose 366 basis points (bps) year-on-year to 19.4%, the highest in at least the past eight quarters.

Given that the segment's average selling price was flat year-on-year at Rs.7.3 lakhs, the margin improvement can be attributed to operating leverage from higher volume, lower input costs and favourable model mix in different geographies, especially in the southern and western zones of India.

A caveat here is that this margin should not be extrapolated into future projections. M&M's management has indicated Q4 margin was high as the in...