Force Motors shares surged 5% to ₹21,916 on Friday following the company's announcement of robust December sales performance, capping off a remarkable year that saw the stock deliver 216% returns in 2025.

Strong December Sales Performance

The commercial vehicle manufacturer reported impressive sales growth across all segments in December, demonstrating strong market demand and operational efficiency.

The export business posted the highest growth rate, with sales jumping nearly 90% to 96 units compared to 51 units in the corresponding month of the previous fiscal year. This strong export performance highlights the company's expanding international presence and product competitiveness.

Robust Q2 Financial Performance

The December sales surge builds upon Force Motors' exceptional Q2 performance, where the company demonstrated significant improvement across key financial metrics.

The company's operating performance improved sharply, with EBITDA climbing 28.3% year-on-year. The operating margin expansion to 17.4% from 14.5% reflects higher realisations and improved cost efficiency across operations.

First Half Performance Highlights

For the first half of the fiscal year, Force Motors maintained its strong momentum with consolidated results showing substantial growth across key parameters.

The more than doubling of consolidated net profit to ₹527.06 crores, supported by a 14.43% rise in revenue from operations, demonstrates the company's ability to leverage operational efficiencies and market opportunities effectively.

Company Overview and Market Position

Pune-based Force Motors operates as a diversified automotive manufacturer with expertise spanning multiple vehicle categories and components. The company's operations include:

• Light commercial vehicles manufacturing
• Utility vehicles production
• Engine manufacturing and supply
• Design and development of automotive components
• Production of automotive aggregates

The company's comprehensive approach to automotive manufacturing, covering design, development, and production across various segments, positions it well to capitalize on the growing demand in the commercial vehicle sector.

Force Motors delivered a strong sales performance in December, recording significant growth in vehicle deliveries compared to the same period last year. The automobile manufacturer's monthly sales figures demonstrate robust market demand and operational momentum.

December Sales Performance

The company reported total vehicle sales of 3,048 units in December, marking a substantial improvement from the 2,036 units sold in December of the previous year. This performance represents a notable year-on-year growth trajectory for the manufacturer.

Market Performance Analysis

The 49.7% year-on-year increase in unit sales indicates strong market acceptance of Force Motors' vehicle portfolio. The growth of over 1,000 additional units compared to the previous December demonstrates the company's enhanced market penetration and customer demand.

This sales performance reflects the automobile sector's recovery momentum and Force Motors' ability to capitalize on market opportunities. The substantial increase in monthly deliveries suggests improved production capabilities and distribution network effectiveness.

Business Implications

The robust December sales figures position Force Motors favorably within the competitive automobile landscape. The significant unit growth indicates strengthened operational efficiency and market positioning during a crucial sales period.

The year-on-year improvement of 1,012 additional units represents meaningful business expansion and revenue generation potential for the company. This performance metric demonstrates Force Motors' capacity to meet increased market demand while maintaining delivery commitments to customers.