Ashok Leyland , the Indian flagship of the Hinduja Group, has reported robust financial results for the second quarter of fiscal year 2026, demonstrating strong growth and profitability.

Financial Highlights

• Profit Before Tax (PBT) before exceptional items rose 23% year-over-year to Rs. 1,083.00 crore
• Profit After Tax (PAT) reached an all-time high of Rs. 771.00 crore
• EBITDA margin improved to 12.1% from 11.6% in the same quarter last year
• Revenue from operations increased to Rs. 9,588.18 crore, up from Rs. 8,728.47 crore in Q2 FY25

Operational Performance

The company witnessed positive growth across its key segments:

• Medium and Heavy Commercial Vehicle (MHCV) volumes grew 3% year-over-year
• Light Commercial Vehicle (LCV) volumes increased 6% compared to the same period last year
• Bus segment continued its strong performance, growing for the 18th consecutive quarter
• Export volumes surged by 45% to 4,784 units

Ashok Leyland maintained its market leadership in the domestic MHCV segment with a share of over 30% and continued to lead in the Bus segment. The company also reported improved market share in the addressable LCV segments.

Product and Network Expansion

During Q2, Ashok Leyland expanded its product lineup by launching new offerings in the Tipper, Bus, Haulage, and LCV segments. The company's distribution network expansion is progressing ahead of schedule, further strengthening its market presence.

Dividend Announcement

In light of the improved fiscal performance and positive outlook, the Board of Directors has recommended a 100% interim dividend of Rs. 1.00 per share (face value Re. 1).

Management Commentary

Mr. Dheeraj Hinduja, Chairman of Ashok Leyland, commented on the results: "We continue to deliver profitable growth, driven by continuing demand. Our robust all-round performance symbolizes the competitiveness of our products and strong customer focus. In the International business, we are intensifying our expansion strategy in our focus markets of Middle East, Africa, and SAARC."

Mr. Shenu Agarwal, Managing Director & CEO, added: "We continue to see stable demand in all segments of trucks and buses. The industry has posted growth, albeit modest, and we are anticipating better growth in the second half. Ashok Leyland has achieved its eleventh consecutive quarter of double-digit EBITDA. Our focus on profitability is reflected in record PAT for Q2FY26 and higher EBITDA margins, both sequentially and year-on-year."

Future Outlook

The company remains optimistic about its future performance, citing several key drivers:

• Margin expansion through product premiumization and network growth
• Operational efficiency and cost optimization initiatives
• Digital enablement across operations
• Strong performance in Defence, Power Solutions, and Aftermarket businesses
• Positive momentum in the international business
• Growing order book for Switch Mobility, with nearly 1,500 vehicles

Ashok Leyland's management believes the company is well-positioned to achieve its mid-teen EBITDA goal in the medium term while maintaining a cash-positive position.

The strong Q2 results and positive outlook underscore Ashok Leyland's resilience and growth potential in the commercial vehicle market, both domestically and internationally.

Ashok Leyland , a leading commercial vehicle manufacturer, has reported a significant increase in its sales figures for October, showcasing robust growth and exceeding market estimates.

Sales Performance

The company's total sales for October reached 17,820 units, marking a substantial 16% year-over-year increase from 15,310 units in the same month of the previous year. This performance surpassed market expectations, which had projected sales of around 16,510 units.

Detailed Sales Breakdown

A closer look at the sales figures reveals impressive growth across various segments:

Segment-wise Performance

Medium and Heavy Commercial Vehicles (M&HCV)

This segment showed strong growth, with total sales increasing by 15% year-over-year. The M&HCV bus category was particularly impressive, registering a 34% growth.

Light Commercial Vehicles (LCV)

The LCV segment also performed well, with an 18% increase in sales compared to the previous year.

Domestic Market Performance

In the domestic market, Ashok Leyland's performance was equally noteworthy:

The domestic market saw a 16% overall growth in vehicle sales, with the LCV segment growing by 19% and the M&HCV segment by 14%.

Cumulative Performance

The company's cumulative sales figures for the fiscal year to date also show positive trends:

This data indicates a 6% growth in total vehicle sales (domestic and exports combined) for the current fiscal year compared to the same period in the previous year.

Ashok Leyland's strong performance in October, particularly in the bus segment and overall M&HCV category, suggests a robust demand for commercial vehicles. The company's ability to surpass market estimates may be indicative of its strong market position and operational efficiency in meeting the growing demand in the commercial vehicle sector.