Hero MotoCorp has delivered robust performance in FY26, closing the year with impressive growth across multiple segments. The world's largest manufacturer of motorcycles and scooters reported March 2026 dispatches of 598,198 units compared to 549,604 units in the corresponding period last year, representing an 8.8% year-on-year increase. However, the March performance fell short of market estimates of 600,100 units. The company achieved a strong finish to FY26 with Q4 dispatch growth of 24% and annual volumes reaching 6.5 million units, marking a notable 10% increase.

March 2026 Performance vs Estimates

The company's March performance showcased strong momentum across key segments, with motorcycles leading the growth trajectory, though falling marginally below market expectations.

Annual FY26 Performance Overview

Hero MotoCorp's full-year performance demonstrates sustained growth across all major segments, with total annual dispatches reaching 6,468,834 units compared to 5,899,187 units in FY25.

Segment-Wise Growth Drivers

The ICE scooter segment delivered exceptional performance with robust double-digit growth of 24% in March, supported by a strengthened product portfolio and scale-up of the Glamour and Xtreme range of motorcycles. The 100-125cc segment led demand growth, while improved sentiment in rural markets was aided by early festive tailwinds. Retail performance remained strong with 542,436 VAHAN registrations indicating growth of approximately 24%.

VIDA EV Business Achieves New Milestones

Hero MotoCorp's emerging mobility business, VIDA, continued its upward trajectory with the highest monthly VAHAN registrations of 21,434 units, recording approximately 70% month-on-month growth. The EV segment achieved remarkable full-year growth of 154% in FY26. VIDA reinforced its market leadership with the V2 and VX2 models emerging as the highest-ranked in the 2026 India Two-Wheeler Initial Quality Study by J.D. Power.

Global Business Reaches Record Heights

The company's global business segment recorded its highest-ever dispatches with growth of approximately 16% in March 2026, reaching 45,693 units. The international operations achieved an all-time high dispatch growth of approximately 40% in FY26, driven by strong demand for premium portfolio products across motorcycles and scooters in key international markets.

Hero MotoCorp has successfully completed an additional investment of Rs. 210 crore in Euler Motors Private Limited, marking a significant step in the two-wheeler manufacturer's strategic expansion into the electric vehicle segment. The transaction was disclosed through a regulatory filing.

Investment Details and Share Acquisition

The investment involved the acquisition of 2.68 lakh Series E Cumulative Compulsorily Convertible Preference Shares in Euler Motors for an aggregate consideration of Rs. 210 crore. This transaction represents a substantial commitment to the electric vehicle company, which operates as an associate of Hero MotoCorp.

Strategic Context and Board Approval

This investment forms part of a larger strategic initiative announced by Hero MotoCorp's Board of Directors. The Board had originally approved an additional investment of Rs. 275 crore in Euler Motors, to be executed through one or more tranches using a combination of primary infusion and secondary purchases.

Enhanced Shareholding Position

Following the completion of this transaction, Hero MotoCorp now holds 36.67% shares in Euler Motors on a fully diluted basis. This increased shareholding strengthens Hero MotoCorp's position in the electric vehicle ecosystem and demonstrates the company's commitment to sustainable mobility solutions.

Regulatory Compliance

The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring transparency with stakeholders and regulatory authorities. The filing was signed by Prabhat Singh, Company Secretary & Compliance Officer of Hero MotoCorp Limited.

This investment underscores Hero MotoCorp's strategic focus on diversifying its portfolio and establishing a strong presence in the rapidly growing electric vehicle market through its partnership with Euler Motors.