Maruti Suzuki India (MARUTI) Q1 25/26 earnings summary

Executive summary

• Net sales increased 8.1% year-over-year in Q1 FY26, with sales volume up 1.1% and strong export growth offsetting a 4.5% domestic decline; SUVs now account for over 55% of total sales.

• Standalone revenue from operations for Q1 FY26 was ₹384,136 million, up 8% year-over-year; standalone net profit was ₹37,117 million, up 2% year-over-year.

• Safety enhancements included six airbags standard in nearly all models and high Bharat NCAP ratings for new models.

• Service network expanded to 5,500 touchpoints, servicing over 2.45 million vehicles in May 2025.

• Board approved a Scheme of Amalgamation with Suzuki Motor Gujarat Private Limited, pending regulatory approvals.

Financial highlights

• Q1 FY26 vehicle sales totaled 527,861 units: 430,889 domestic and 96,972 exports; exports comprised 18.4% of total sales.

• Net sales were INR 366.2 billion, up from INR 338.7 billion year-over-year; PAT was INR 37.1 billion, up 1.7% year-over-year.

• Standalone EBITDA margin improved, with profit before tax at ₹48,342 million, up 3% year-over-year.

• Material cost as % of net sales increased to 75.5% from 73.3% year-over-year; operating EBIT margin decreased to 8.3% from 11.1%.

• Non-operating income rose to 5.0% of net sales from 2.9% year-over-year.

Outlook and guidance

• Optimism for Q2 and festive season, with two new SUV launches (one electric) expected to boost performance.

• Margin pressures expected due to adverse commodity prices, foreign exchange, and new plant expenses, but cost reduction and higher non-operating income provide some offset.

• Industry growth guidance remains at 1–2% for FY26, with expectations to outperform.

• Impact of new End-of-Life Vehicles (ELV) Rules, 2025, cannot yet be estimated due to lack of operational framework.