TVS Motor Company (532343) Q1 26/27 earnings summary

Executive summary

• Achieved highest-ever quarterly sales of 1.63 million units, up 28% year-over-year, with record revenue of INR 13,896 crore (38% growth) and profit after tax up 51% to INR 1,174 crore.

• EBITDA grew 41% to INR 1,779 crore, with margin improving to 12.8% from 12.5% year-over-year.

• Strong growth across all product segments, including motorcycles, scooters, mopeds, and electric vehicles.

• TVS Credit Services expanded its customer base and loan book, with a long-term credit rating upgrade to CARE AAA.

• TVS iQube EV crossed 1 million units produced; HLX series surpassed 5 million global sales.

Financial highlights

• Standalone revenue from operations was INR 13,896 crore, up from INR 10,081 crore year-over-year; consolidated revenue reached INR 16,295.52 crore.

• Standalone PAT was INR 1,174 crore, with consolidated PAT attributable to owners at INR 1,019.43 crore.

• Q1 PBT included a fair valuation gain of INR 150 crore on investments.

• Export revenue was INR 3,634 crore; EV revenue was approximately INR 1,780 crore; spare parts revenue was INR 1,173 crore.

• TVS Credit’s loan book grew 19% year-over-year to INR 32,053 crore, with PBT up 16% to INR 283 crore.

Outlook and guidance

• Double-digit industry growth expected for FY27, with Q2 anticipated to maintain or exceed Q1 momentum.

• Company expects to outperform industry growth in both domestic and international markets, focusing on expanding the EV portfolio and international business.

• ICE and EV segments both forecast to grow, with EV penetration in two-wheelers at 10.6% in June and three-wheeler EV penetration above 40%.