TVS Motor Company (532343) Q4 25/26 earnings summary

Executive summary

• Achieved record sales of 5.9 million units in FY 2026, up 24% year-over-year, with highest ever revenue of INR 47,270 crores, a 30% increase from the previous year, and operating PBT up 40% to INR 4,975 crores.

• Q4 FY 2026 saw highest ever quarterly sales of 1.56 million units (up 28%) and revenue of INR 12,808 crores (up 36% YoY), with EBITDA margin reaching 13.1%.

• Strong growth across ICE, EV, and three-wheeler segments, with international business and premium products contributing significantly.

• Operating EBITDA margin improved to 12.9% for the year.

• Notable international launches and multiple industry awards, including TVS Orbiter winning EV Scooter of the Year.

Financial highlights

• FY 2026 operating EBITDA was INR 6,079 crores, up 37% year-over-year; Q4 operating EBITDA was INR 1,679 crores, up 43% YoY.

• FY 2026 operating PBT was INR 4,975 crores, up 40% YoY; Q4 operating PBT was INR 1,375 crores, up 47% YoY.

• Net profit after tax (standalone) for FY 2026 was INR 3,615 crores; Q4 net profit was INR 998 crores.

• Operating free cash flow rose 47% to INR 3,805 crores.

• EV revenue for FY 2026 was about INR 5,000 crores.

Outlook and guidance

• Expects strong single-digit industry growth in FY 2027, aiming to outpace industry, especially in scooters, EVs, and premium segments.

• Cautiously optimistic for Q1 and Q2 due to supply chain and geopolitical risks, but confident in demand and growth momentum.

• CapEx for FY 2027 projected at INR 3,500 crores, focusing on product development, R&D, and capacity expansion.

• Continued focus on expanding electric vehicle portfolio and international markets.

• Board declared an interim dividend of INR 12 per share for FY 2026, totaling INR 570 crores.