Force Motors reported a standalone net profit of ₹212.07 crore for the quarter ended June 30, 2026, marking a 14.50% year-on-year increase from ₹185.22 crore in Q1FY26. Revenue from operations rose 6.20% to ₹2,439.89 crore, up from ₹2,297.12 crore in the prior year period. The Board of Directors approved the unaudited financial results on July 29, 2026, reflecting strong operational performance despite a sequential decline in profitability.

The Board meeting held on July 29, 2026, also reviewed the limited review reports issued by the Statutory Auditors, Kirtane & Pandit LLP. The financial statements were prepared in accordance with Indian Accounting Standard 34 (Ind AS 34) and Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has shifted to the new tax regime under Section 115BAA of the Income Tax Act, 1961, effective from the second quarter of FY26.

Financial Performance Highlights

The table below presents key standalone financial metrics on a year-on-year and sequential basis:

Consolidated Performance and EBITDA

On a consolidated basis, net profit attributable to owners of the company stood at ₹216.56 crore, compared to ₹176.33 crore in Q1FY26, representing a 22.80% year-on-year growth. Consolidated revenue from operations was 24.4B rupees, slightly higher than the standalone figure due to the inclusion of subsidiaries and joint ventures. However, consolidated EBITDA came in at 3.28B rupees compared to 3.32B rupees in the prior year period, with the EBITDA margin contracting to 13.44% from 14.45% year-on-year, reflecting the impact of rising operating costs on profitability.

The key consolidated metrics are summarised below:

Consolidation and Strategic Developments

The consolidated results now include Veera Tanneries Private Limited (VTPL), which became a wholly owned subsidiary following the acquisition of its entire equity shares via a Share Purchase Agreement dated April 23, 2026. This acquisition aligns with the company's strategy to integrate upstream supply chain capabilities. Additionally, the joint venture Force MTU Power Systems Private Limited contributed ₹4.84 crore to the share of profit from joint ventures in the quarter.

What the Numbers Show

While revenue growth remained positive at 6.20%, total expenses increased by 7.50% YoY, primarily driven by higher employee benefits expense (₹195.12 crore vs ₹166.45 crore) and other expenses (₹187.00 crore vs ₹148.17 crore). This cost inflation pressured the pre-tax profit margin, which remained nearly flat at 0.80% YoY growth despite higher top-line sales. The EBITDA margin compression to 13.44% from 14.45% further underscores the cost headwinds faced during the quarter. However, the net profit margin improved significantly due to lower tax expenses in the current quarter (₹76.78 crore) compared to the prior year (₹101.32 crore), benefiting from the shift to the new tax regime. The sequential drop in net profit from Q4FY26 suggests potential seasonality or one-time factors in the previous quarter that have normalized.

The Board of Directors of Force Motors approved the re-appointment of three independent directors for a second consecutive five-year term on July 29, 2026. The decision, based on the recommendation of the Nomination and Remuneration Committee (NRC), ensures continuity in governance as the directors serve until August and September 2032. These appointments remain subject to approval by the shareholders of the company.

The Board meeting, held on July 29, 2026, commenced at 2:56 p.m. and concluded at 4:23 p.m. The company confirmed that the appointed directors are not debarred from holding office by SEBI or any other authority. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Schedule III and SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026.

Director Appointments

The company sought to re-appoint the following independent directors:

Profiles and Expertise

Vallabh Bhanshali is the Co-founder and Chairman of Enam Securities. He has served on policy-making bodies including the Reserve Bank of India and is a Founding Member of the Governing Board of Flame University and ISPP. He is also a recipient of two honorary doctorates and has been admitted to the Hall of Fame of the Institute of Chartered Accountants.

Mukesh Patel is an Advocate and International Tax Expert with nearly five decades of experience. He has served on the Justice Easwar Committee for Simplification of the Income-tax Act and was appointed as the First Honorary Consul of Japan in India in 2024. He currently serves on the boards of Zydus Lifesciences Limited and Desai Brothers Ltd.

Sonia Prashar brings nearly three decades of experience in international trade and Indo-European cooperation. She is the Managing Director of Nuernbergmesse India Private Limited and serves as Secretary General of the Federation of European Business in India. She holds an MBA Essentials from the London School of Economics and Political Science.