TVS Motor Company (532343) Q3 24/25 earnings summary

Executive summary

• Achieved highest-ever operating EBITDA margin of 11.9% in Q3 FY25, excluding PLI benefits, with operating revenue for Q3 growing 10% year-over-year to INR 9,097 crores.

• Q3 sales reached 12.12 lakh units, up 10% year-over-year, with electric two-wheeler sales surging 57% to 76,000 units.

• Nine-month sales grew 13% to 35.3 lakh units, with operating revenue up 13% to INR 26,701 crores.

• International two-wheeler sales rose 26% year-over-year; total ICE two-wheeler sales up 9%.

• Domestic ICE two-wheeler sales grew 5% year-over-year, outpacing industry growth of 1%.

Financial highlights

• Q3 operating EBITDA increased 17% year-over-year to INR 1,081 crores; margin improved by 70 bps to 11.9%.

• Q3 operating PBT rose 22% to INR 859 crores; PAT up 4% to INR 618 crores; standalone PAT for Q3 at INR 619.74 crores.

• Nine-month operating EBITDA up 21% to INR 3,121 crores; margin improved to 11.7%.

• Nine-month PBT up 19% to INR 2,517 crores; PAT up 16% to INR 1,858 crores.

• TVS Credit PBT grew 40% year-over-year to INR 321 crores; book size at INR 27,190 crores, up 7%.

Outlook and guidance

• Q4 expected to perform well, with rural growth outpacing urban and strong infrastructure investments.

• EV two-wheeler industry penetration at 5.8% for nine months, with continued growth anticipated.

• Confident of growing ahead of the industry in both ICE and EV segments.

• PLI benefits for the full year to be recognized in Q4, with quarterly recognition thereafter.

• Board approved amalgamation of Sundaram Auto Components Limited with TVS Motor Company.