Ashok Leyland (ASHOKLEY) investor relations material

Executive summary

• Achieved record Q3 revenue of INR 11,534 crore, up 21.7% YoY, and all-time high Q3 EBITDA of INR 1,535 crore (13.3% margin), driven by strong demand, product innovation, and new launches in heavy-duty trucks and LCVs.

• Net profit for Q3 reached INR 796 crore, up 4% YoY after a one-time charge of INR 308 crore due to new labor codes.

• MHCV and LCV volumes grew 23% and 30% YoY, outpacing industry growth and resulting in market share gains.

• Exports increased 20% YoY, and net cash position improved to INR 2,619 crore, up by over INR 1,660 crore YoY.

• GST rate rationalization triggered a new CV replacement cycle, boosting both retail and bulk demand.

Financial highlights

• Q3 revenue reached INR 11,534 crore, up 21.7% YoY; EBITDA at INR 1,535 crore, up 26.7% YoY; EBITDA margin improved to 13.3%, up 50 bps YoY.

• Standalone Q3 net profit: INR 796 crore vs INR 762 crore in Q3 FY25; PAT before exceptionals at INR 1,104 crore, up 45% YoY.

• Consolidated Q3 revenue: INR 14,830 crore; consolidated Q3 net profit: INR 862 crore.

• Net cash position at INR 2,619 crore at quarter end.

• CapEx for Q3 was INR 187 crore; cumulative nine-month CapEx at INR 844 crore.

Outlook and guidance

• Confident of continued strong CV volume growth, supported by favorable macroeconomic factors, GST rationalization, and robust product pipeline including electric vehicles.

• Replacement cycle expected to drive sustained demand as fleet age remains high and scrappage policies may add further impetus.

• No major capacity constraints anticipated for FY 2027; only minor investments needed in select areas.