TVS Motor Company (532343) Q1 25/26 earnings summary

Executive summary

• Achieved record quarterly sales of 1.28 million units (12.77 lakh), up 17% year-over-year for Q1 FY26.

• Highest ever operating revenue at INR 10,081 crore, a 20% increase year-over-year.

• Operating EBITDA rose 32% to INR 1,263 crore, with margin improving to 12.5%.

• Profit before tax increased 35% to INR 1,053 crore; profit after tax rose 35% to INR 779 crore.

• TVS Credit PBT grew 30% to INR 243 crore, with a book size nearing INR 27,000 crore.

Financial highlights

• Revenue: INR 10,081 crore (up 20% YoY); Operating EBITDA: INR 1,263 crore (up 32% YoY); EBITDA margin: 12.5% (up 100 bps YoY).

• Profit before tax: INR 1,053 crore (up 35% YoY); Profit after tax: INR 779 crore (up 35% YoY).

• Standalone PAT: INR 778.59 crore in Q1 FY26 vs. INR 577.32 crore in Q1 FY25; EPS (standalone): INR 16.39 in Q1 FY26.

• EV revenue for the quarter was around INR 1,000 crore, with 70,000 EV units sold.

• Exports contributed INR 2,487 crore; spare parts revenue was INR 987 crore.

Outlook and guidance

• Expecting moderate growth in domestic ICE business, with rural demand likely to improve due to favorable monsoon and early sowing.

• Positive outlook for Q2, driven by festive season and improved retail financing conditions.

• Confident of continued growth in both ICE and EV segments, with new product launches planned for Norton and e-bikes.

• Company continues to recognize Production Linked Incentive (PLI) on a quarterly basis.

• Board approved fund raising to support future growth and capital needs.