Bajaj Auto (BAJAJ-AUTO) Q2 26/27 earnings summary

Executive summary

• Q2 set records for volume, revenue, EBITDA, PAT and free cash flow, with broad growth across markets, powertrains and vehicle categories despite inflation, supply constraints and logistics disruptions.

• Standalone sales volumes reached 1,548,884, up 20% YoY; domestic revenue grew 30% and exports rose 40%+.

Financial highlights

• Standalone revenue from operations was ₹20,003.43 crore vs ₹14,922.05 crore YoY, up 34%; H1 revenue was ₹37,247.15 crore.

• Standalone EBITDA was ₹4,172 crore, up 37% YoY; PAT was ₹3,353.76 crore and profit before tax ₹4,457.49 crore.

• Consolidated Q2 revenue was ₹25,125.56 crore and profit attributable to owners ₹3,436.10 crore; H1 revenue was ₹48,053.37 crore and owner-attributable profit ₹6,661.73 crore.

• Free cash flow accretion was ₹4,000 crore; cash conversion exceeded 100% of PAT, supported by earnings and working capital.

Outlook and guidance

• Export volumes are targeted to sustain 750,000 units per quarter; monthly shipments of 240,000–260,000 units are an aspiration subject to market and freight conditions.

• Capacity is planned to expand from 625,000 to ~775,000 units annually over six to nine months; Chetak capacity is planned to reach 80,000 units monthly in Q4.

• The September–December two-wheeler market is expected to grow at double digits, below April–August’s 18% YoY; inflation is expected to persist in Q3, with pricing and cost levers adjusted dynamically.

• Two new motorcycle brands are planned for FY27 in selected 125cc–250cc segments, alongside further Pulsar and Dominar updates; E3W capacity is also being expanded.