Greaves Cotton reported a 31% year-on-year increase in consolidated revenue to ₹974 crore for the quarter ended June 30, 2026, driven by disciplined execution across its diversified engineering portfolio. Standalone revenue rose 16% to ₹629 crore. The results reflect robust demand in Energy and Mobility Solutions, alongside significant growth in its electric mobility segment, where two-wheeler volumes more than doubled. These figures underscore the company’s strategic pivot under its Greaves.Next initiative, balancing core engineering growth with investments in future-ready businesses.

The financial filing, submitted pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, details the unaudited standalone and consolidated results. Parag Satpute, MD & Group CEO, attributed the performance to strong execution despite commodity price and supply chain pressures. The company also expanded its international footprint by incorporating Greaves International Trading FZE in Dubai, UAE, establishing a regional hub for the Middle East and Africa.

Financial Performance

Consolidated EBITDA stood at ₹56 crore, with operating profit before tax (PBT) at ₹27 crore. On a standalone basis, EBITDA was ₹71 crore and operating PBT was ₹67 crore.

Business Segment Highlights

Energy Solutions delivered 21% year-on-year revenue growth, supported by healthy demand in infrastructure and industrial applications. Domestic sales of the Medium Horsepower (MHP) genset portfolio grew by 32% YoY. The company also commissioned a Battery Energy Storage System (BESS) pilot.

Mobility Solutions recorded 18% year-on-year revenue growth. Automotive engines saw robust growth of 36% YoY, while Engineered Components grew 14% YoY, aided by new orders from OEMs such as Caterpillar UK and TAFE. Demand for Euro V+ compliant engines remained encouraging in export markets. Industrial Solutions sustained demand across defence, marine, and agriculture applications.

Electric Mobility and Finance Growth

Greaves Electric Mobility (GEML) strengthened its market position with VAHAN electric two-wheeler volumes growing 101% year-on-year in Q1 FY27. Market share increased from 4.3% in FY26 to 5.6% in June '26. Three-wheeler L5 VAHAN volumes grew 39% year-on-year, with electric L5 volumes nearly doubling.

The company informed that its ₹530 crore rights issue for GEML has been fully subscribed. Greaves Cotton subscribed to its full entitlement of approximately ₹331 crore, maintaining its shareholding at 62.48%. Additionally, Greaves Finance saw Assets Under Management cross ₹560 crore, up from ₹521 crore in March 2026. Greaves Cotton subscribed to ₹50 crore in Greaves Finance’s rights issue to support its next phase of growth.

What the Numbers Show

The divergence between consolidated and standalone margins highlights the capital-intensive nature of the group's investments in subsidiaries like GEML and Greaves Finance. While standalone operations generated ₹71 crore in EBITDA on ₹629 crore revenue (approx. 11.3% margin), consolidated EBITDA was ₹56 crore on ₹974 crore revenue (approx. 5.7% margin). This suggests that while core engineering businesses remain profitable, the high-growth EV and finance segments are currently reinvesting heavily or carrying higher operational costs as they scale volume, particularly evident in the 101% volume surge for EVs which may not yet translate proportionally to consolidated bottom-line profitability.

Greaves Cotton reported a 30.7% year-on-year increase in consolidated revenue to ₹974.12 crore for the quarter ended June 30, 2026, driven by strong performance in its Engines and Engineering Products segment. However, consolidated net profit attributable to owners declined to ₹25.77 crore from ₹33.09 crore in the corresponding quarter of the previous year, reflecting margin pressures and higher finance costs. The Board of Directors approved the unaudited financial results on August 4, 2026, as reviewed by the Audit Committee and statutory auditors Price Waterhouse Chartered Accountants LLP.

Consolidated Financial Performance

The company’s total income stood at ₹985.06 crore, comprising ₹974.12 crore from operations and ₹10.94 crore in other income. Total expenses increased to ₹958.01 crore from ₹719.93 crore in Q1FY25, primarily due to higher cost of materials consumed (₹668.90 crore vs ₹448.33 crore) and employee benefits expense (₹102.52 crore vs ₹90.21 crore). Profit before tax was ₹27.05 crore, compared to ₹43.02 crore in the prior year period. After tax expense of ₹20.89 crore, the profit for the period was ₹6.16 crore.

*EBITDA calculated as Profit Before Tax + Finance Costs + Depreciation & Amortisation + Tax Expense.

Segment-Wise Results

The Engines and Engineering Products segment contributed ₹705.31 crore in revenue, up from ₹610.47 crore in Q1FY25, with a segment result of ₹106.28 crore. The Electric Mobility & Other Vehicles segment saw significant growth, with revenue rising to ₹269.82 crore from ₹136.71 crore, although it incurred a loss of ₹45.77 crore compared to ₹40.51 crore previously. Vehicle Finance revenue increased to ₹14.07 crore from ₹7.79 crore, generating a segment result of ₹4.37 crore.

The group reorganised its segments during the quarter, merging Cables & Control levers into Engines and Engineering Products and separately reporting vehicle finance business. Comparative figures have been recasted accordingly.

Key Developments

• Rights Issue Participation: The Board approved participation in the proposed rights issue of subsidiary Greaves Electric Mobility Limited (GEML), subscribing up to approximately ₹331 crore.
• Investment in Greaves Finance: An additional investment of ₹50 crore was made in wholly-owned subsidiary Greaves Finance Limited via equity subscription.
• New Subsidiary: Incorporated Greaves International Trading FZE in Dubai, United Arab Emirates.
• Dividend Proposal: Proposed final dividend of ₹2 per share (total payout ₹46.58 crore), subject to shareholder approval at the Annual General Meeting.

What the Numbers Show

While top-line growth remains robust, particularly in electric mobility, profitability is under pressure due to rising input costs and finance expenses. The widening loss in the Electric Mobility segment despite doubled revenue suggests ongoing scaling challenges. Meanwhile, the core engines business continues to provide stable cash flows, offsetting some of the volatility in newer ventures.