Bajaj Auto (BAJAJ-AUTO) Q4 25/26 earnings summary

Executive summary

• FY 2026 achieved record volumes exceeding 5 million units, with all-time highs in revenue (INR 58,732 crore standalone, INR 62,905 crore consolidated), EBITDA (INR 12,019 crore, 20.5% margin), and PAT (INR 9,825 crore standalone, INR 10,744 crore consolidated).

• Q4 FY 2026 delivered record quarterly revenue (INR 16,006 crore), EBITDA (INR 3,323 crore, 20.8% margin), and PAT (INR 2,746 crore).

• Growth was broad-based across domestic, exports, two-wheelers, three-wheelers, and electric vehicles.

• Leadership transition: Rakesh Sharma elevated to Joint Managing Director effective June 1.

Financial highlights

• Q4 revenue grew 32% year-over-year, volumes up 24%, and profits up 36%.

• FY 2026 revenue at INR 59,000 crore, up 17% year-over-year; EBITDA up 19% to INR 12,000+ crore.

• Consolidated PAT for FY 2026 crossed INR 10,000 crore, up nearly 50%.

• Free cash flow exceeded INR 8,000 crore; surplus funds over INR 18,000 crore after capex and investments.

• Dividend of INR 150/share and buyback of up to 4.69 million shares at INR 12,000/share, totaling ~INR 9,825 crore payout (100% of FY26 PAT).

Outlook and guidance

• Q1 FY 2027 expected to maintain growth tempo, especially in 150cc+ motorcycles, EVs, and exports.

• Motorcycle industry growth expected to moderate to 7%-9% in the near term due to inflation, price hikes, and supply chain issues.

• Continued focus on premiumization, EV expansion, and export growth.

• Commodity inflation estimated at 3.5%-4% of revenue for Q1, with 40% offset by price hikes.

• Plans to align subsidiary reporting calendars for improved transparency.