Hero MotoCorp , the world's largest manufacturer of motorcycles and scooters, has announced robust financial results for the first quarter of fiscal year 2026 (April-June 2025), showcasing growth in key segments and promising outlook for the future.

Financial Highlights

Hero MotoCorp reported a consolidated revenue of Rs. 9,728.00 crore for Q1 FY'26, with a significant jump in Profit After Tax (PAT) to Rs. 1,706.00 crore, compared to Rs. 1,032.00 crore in the same quarter of the previous year. The company's standalone revenue from operations stood at Rs. 9,579.00 crore, with a PAT of Rs. 1,126.00 crore.

The company's EBITDA margin remained steady at 14.40% on a standalone basis, while the consolidated EBITDA margin improved slightly to 14.50% from 14.30% in the previous year.

Strong Performance in Key Segments

Hero MotoCorp witnessed strong growth in its electric mobility division under the VIDA brand, reinforcing its position in the evolving EV segment. The company's global business operations outperformed industry trends, driven by growth in key international markets and an expanding portfolio across both premium and commuter motorcycles.

During the quarter, Hero MotoCorp strengthened its product positioning through portfolio enrichments. In the 125cc scooter segment, the Destini 125 and Xoom 125 led the charge. The company also expanded its HF Deluxe Portfolio in the 100cc motorcycle segment with the launch of the HF Deluxe Pro.

Electric Mobility Initiatives

VIDA, Hero MotoCorp's electric mobility brand, introduced a pioneering subscription-based Battery-as-a-Service (BaaS) model starting July 1, 2025, along with a new product, the EVOOTER VX2. The company also unveiled a high-impact television and digital campaign – 'Charging Simple Hai' during the Indian Premier League (IPL) season, highlighting its revolutionary removable battery technology.

Global Expansion and Product Strategy

Hero MotoCorp announced the launch of four new products – Xoom 110 scooter, Hunk 160R 4V, Xtreme 125R, and HF Deluxe motorcycles – in partnership with its long-standing distributor, Abans Auto in Sri Lanka. This move is expected to strengthen the company's presence in international markets.

In the premium segment, the Harley-Davidson 2025 lineup was revealed, featuring the re-introduced Street Bob, along with the all-new Road Glide and Street Glide models.

Retail Network Expansion

The company inaugurated the first Hero Premia Stores in Murshidabad, Nashik, and Muzaffarpur, and the fourth in Bangalore, marking 100 such outlets across the country. This expansion is aimed at enhancing the company's retail presence and customer experience.

Management Commentary

Vivek Anand, Chief Financial Officer of Hero MotoCorp, commented on the performance, saying, "Our profitability and margins remained resilient, supported by strong demand for our entry & deluxe motorcycles and 125cc scooter segments. We are witnessing good traction in our electric mobility business (VIDA), and global operations also remained ahead of industry, reflecting the strength of our brand in international markets. With favourable customer sentiment, upcoming festive season and a robust pipeline of new product launches, we are confident of sustaining and driving growth in the coming quarters."

Future Outlook

Hero MotoCorp expects demand to remain healthy in the coming quarters, supported by the upcoming festive season and a robust line-up of new products. The company's retail demand in Q1 remained steady, as reflected in higher VAHAN registrations.

With its strong financial performance, growing presence in the electric mobility sector, and expanding global footprint, Hero MotoCorp appears well-positioned to capitalize on the evolving two-wheeler market landscape.

Note: All financial figures are in Indian Rupees (Rs.)

Hero MotoCorp , the world's largest manufacturer of motorcycles and scooters, has announced its financial results for the first quarter, revealing a mixed performance with a slight decline in revenue but a marginal increase in profit.

Financial Highlights

For the quarter ended June 30, Hero MotoCorp reported:

The company's consolidated revenue stood at ₹9,728.00 crore, while consolidated profit after tax (PAT) reached ₹1,706.00 crore, a significant jump from ₹1,032.00 crore in the previous year. This substantial increase in consolidated profit includes a one-time gain of ₹722.00 crore due to the dilution of the company's share in associates following a public issue and private placement.

Operational Performance

Hero MotoCorp sold 13.67 lakh units of motorcycles and scooters during the quarter. The company implemented a temporary production pause as part of its planned operational strategy, which impacted the overall dispatch volumes for the quarter but has since normalized.

Product and Market Developments

During the quarter, Hero MotoCorp strengthened its product positioning through portfolio enhancements:

• In the 125cc scooter segment, the Destini 125 and Xoom 125 led the charge.
• The HF Deluxe portfolio in the 100cc motorcycle segment was expanded with the launch of the HF Deluxe Pro.
• The company's electric mobility business under the VIDA brand continued to see steady momentum.

Global business operations outperformed industry trends, driven by growth in key international markets and an expanding portfolio across both premium and commuter motorcycles.

Electric Mobility and Innovation

Hero MotoCorp has made significant strides in the electric vehicle (EV) segment:

• VIDA introduced a subscription-based Battery-as-a-Service (BaaS) model.
• A new product, the EVOOTER VX2, was launched.
• A high-impact television and digital campaign – 'Charging Simple Hai' – was unveiled during the Indian Premier League (IPL) season, highlighting VIDA's removable battery technology.

Global Expansion and Brand Initiatives

The company announced the launch of four new products in Sri Lanka in partnership with its distributor, Abans Auto:

• Xoom 110 scooter
• Hunk 160R 4V motorcycle
• Xtreme 125R motorcycle
• HF Deluxe motorcycle

Hero MotoCorp also expanded its premium retail network, inaugurating the first Hero Premia Stores in Murshidabad, Nashik, and Muzaffarpur, with a fourth in Bangalore, marking 100 such outlets across India.

Management Commentary

Vivek Anand, Chief Financial Officer of Hero MotoCorp, commented on the performance: "Our profitability and margins remained resilient, supported by strong demand for our entry & deluxe motorcycles and 125cc scooter segments. We are witnessing good traction in our electric mobility business (VIDA), and global operations also remained ahead of industry, reflecting the strength of our brand in international markets. With favorable customer sentiment, upcoming festive season, and a robust pipeline of new product launches, we are confident of sustaining and driving growth in the coming quarters."

Future Outlook

Hero MotoCorp expects demand to remain healthy in the coming quarters, buoyed by the upcoming festive season and a robust lineup of new products. The company's focus on electric mobility and global expansion is likely to play a crucial role in its future growth strategy.

As Hero MotoCorp navigates the evolving automotive landscape, its emphasis on product diversification, electric mobility, and international market expansion appears to be setting the stage for sustained growth and innovation in the two-wheeler segment.