Mahindra & Mahindra (M&M), one of India's leading automotive and farm equipment manufacturers, has reported strong financial results for the first quarter, demonstrating resilience and growth across its key business segments.

Financial Highlights

• Consolidated revenue surged by 22% to Rs 45,529.00 crore
• Consolidated Profit After Tax (PAT) increased by 24% to Rs 4,083.00 crore
• Return on Equity (RoE) stood at 20.60%
• Earnings Per Share (EPS) reached Rs 36.40

Automotive Sector Performance

M&M's automotive division showcased impressive growth:

• SUV volumes grew by 22% year-on-year
• SUV revenue market share expanded by 570 basis points to 27.30%
• Light Commercial Vehicle (LCV) market share in the <3.5T segment increased by 340 basis points to 54.20%
• Auto standalone PBIT margin (excluding eSUV contract manufacturing) improved by 50 basis points to 10.00%

Farm Equipment Sector

The farm equipment sector also demonstrated strong performance:

• Tractor market share increased by 50 basis points to 45.20%, the highest ever in a quarter
• Tractor volumes grew by 10% year-on-year
• Core Tractor PBIT margins improved by 100 basis points to 20.70%

Services and Other Segments

• Mahindra & Mahindra Financial Services Limited (MMFSL) reported a 15% growth in Assets Under Management (AUM)
• Tech Mahindra showed progress in margin expansion, with EBIT margin improving by 260 basis points to 11.10%
• Mahindra Logistics demonstrated strong revenue momentum with 14% growth

Management Commentary

Dr. Anish Shah, Group CEO & Managing Director of M&M Ltd., stated, "Q1 has been an excellent quarter, with broad-based growth across all our businesses. The operating excellence in our Auto and Farm businesses is evident in continued market share gains and margin expansion."

Mr. Rajesh Jejurikar, Executive Director & CEO (Auto and Farm Sector), highlighted the strong momentum in Auto and Farm businesses, emphasizing the significant market share gains in SUVs, LCVs, and tractors.

Mr. Amarjyoti Barua, Group Chief Financial Officer, expressed satisfaction with the group's performance despite macro challenges, including geopolitical disruptions, and reaffirmed the company's commitment to shareholder value creation through continued focus on capital discipline and operational metrics.

Outlook

While the company did not provide specific forward-looking guidance, the strong performance across segments and management's positive commentary suggest a favorable outlook for Mahindra & Mahindra. The company's focus on electric vehicles, with a 31.80% market share in eSUV volumes, also positions it well for future growth in the evolving automotive landscape.

Mahindra & Mahindra's robust Q1 results demonstrate the company's ability to navigate challenges and capitalize on market opportunities, setting a positive tone for the future.

Mahindra & Mahindra (M&M), a leading Indian multinational corporation, has announced a comprehensive long-term growth strategy extending through fiscal year 2026, building on its recent strong market performance and leadership positions across multiple segments.

Strategic Focus on Core Businesses

The strategy aims to capitalize on M&M's record market share in SUVs and tractors, while further strengthening its position in the rapidly growing electric vehicle (EV) market. In the first quarter, M&M demonstrated impressive results that align with this strategic direction:

• SUV segment: Revenue market share reached 27.30%, a significant increase of 570 basis points year-over-year. SUV volumes grew by 22%.
• Tractor segment: Market share expanded to 45.20%, up by 50 basis points, with a 10% increase in volumes.
• Electric vehicles: M&M secured the top position in EV revenue market share for both E-SUV and E-PV categories.

Financial Performance Highlights

The company's Q1 financial results underscore the effectiveness of its strategic initiatives:

The Auto and Farm sectors combined PAT grew by 20%.

Margin Expansion and Operational Excellence

M&M's focus on operational excellence is evident in its margin improvements:

• Auto segment: Standalone PBIT (Profit Before Interest and Tax) margin, excluding eSUV contract manufacturing, reached 10.00%, up 50 basis points.
• Farm segment: Standalone PBIT margin increased to 19.80%, a rise of 130 basis points.

Diversified Growth Across Segments

The company's growth strategy extends beyond its core automotive and farm equipment businesses:

• Tech Mahindra: Showed progress in margin recovery, with EBIT margin improving by 260 basis points to 11.10% in Q1.
• Mahindra Finance: Demonstrated stable asset quality with Gross Stage 3 (GS3) assets below 4%, aligning with company commitments.
• Growth Gems: Promising developments in various businesses, including real estate, renewable energy, and logistics.

Leadership Perspectives

Dr. Anish Shah, Group CEO & Managing Director of M&M, commented on the Q1 performance: "Q1 F26 has been an excellent quarter, with broad-based growth across all our businesses. The operating excellence in our Auto and Farm businesses is evident in continued market share gains and margin expansion."

Mr. Rajesh Jejurikar, Executive Director & CEO (Auto and Farm Sector), highlighted the company's market leadership: "Our Auto and Farm businesses continue to lead with strong momentum in Q1 F26, with gain of 570 bps YoY in SUV revenue share, and 340 bps YoY in LCV (< 3.5T) market share."

Looking Ahead

As Mahindra & Mahindra implements its long-term strategy through FY26, the company appears well-positioned to leverage its strengths in core businesses while exploring new growth avenues. The focus on electric vehicles, margin improvement, and diversification into promising sectors suggests a comprehensive approach to sustaining growth and market leadership in an evolving automotive and industrial landscape.

Investors and industry observers will be keenly watching how M&M executes this strategy in the coming quarters, particularly in light of global economic uncertainties and the ongoing transition to electric mobility.