Bajaj Auto has received board approval for a significant investment initiative, with the company set to invest up to ₹120 million in Clean Max Godavari. This strategic investment decision marks an important development in the company's diversification strategy.

Investment Details

The board of Bajaj Auto has formally approved the investment proposal, which involves a maximum commitment of ₹120 million to Clean Max Godavari. This investment represents the company's strategic move to expand its business interests beyond traditional automotive manufacturing.

Strategic Implications

This investment approval signals Bajaj Auto's interest in diversifying its portfolio and exploring opportunities in the renewable energy sector. The partnership with Clean Max Godavari could potentially align with the company's broader sustainability objectives and provide exposure to the growing clean energy market.

The investment decision reflects the company's strategic approach to capital allocation and its willingness to explore new business verticals that complement its existing operations.

Bajaj Auto Limited delivered exceptional third quarter performance for FY26, setting new benchmarks across revenue, profitability, and sales volumes. The automotive manufacturer reported record-breaking financial results that underscore its strong market position and operational excellence.

Financial Performance Highlights

The company's standalone financial results for Q3FY26 demonstrated robust growth momentum across all key metrics. Revenue from operations reached ₹15,220.33 crore, marking the first time the company crossed the ₹15,000 crore milestone in a single quarter.

Nine-Month Performance

For the nine months ended 31 December 2025, Bajaj Auto maintained its strong performance trajectory with consistent growth across financial parameters.

Volume Performance and Market Leadership

Bajaj Auto achieved record quarterly sales volumes of 13,41,252 units in Q3FY26, representing a 10% year-on-year increase from 12,24,472 units in Q3FY25. The company demonstrated strong performance across all business segments:

• Two-wheelers: 11,32,383 units (7% growth YoY)
• Commercial vehicles: 2,08,869 units (23% growth YoY)
• Domestic sales: 7,31,037 units (3% growth YoY)
• Export sales: 6,10,215 units (18% growth YoY)

The export business particularly stood out, crossing 600,000 units in quarterly volumes after 15 quarters, with robust double-digit growth in Africa and Asia markets.

Profitability and Margin Expansion

The company's EBITDA reached a new peak of ₹3,161 crore with margins expanding to 20.8%, reflecting effective cost management and operational efficiency. This represents a 30 basis points quarter-on-quarter improvement and 60 basis points year-on-year expansion.

Profit before exceptional items stood at ₹2,548.70 crore for Q3FY26, compared to ₹2,108.73 crore in Q3FY25, demonstrating the underlying strength of the business operations.

Exceptional Items and Regulatory Impact

The company recognized an exceptional expense of ₹61.32 crore related to employee benefit obligations following the Government of India's notification of new Labour Codes on 21 November 2025. This one-time impact was partially offset by a corresponding deferred tax asset of ₹15.43 crore.

Business Segment Performance

Bajaj Auto's diversified portfolio delivered strong results across all segments. The domestic motorcycle business achieved its biggest quarter on 125cc+ models with double-digit revenue growth, while the electric vehicle portfolio contributed 25% of domestic revenues. The KTM and Triumph partnership accelerated momentum with approximately 50% year-on-year growth in domestic volumes and revenue.

Commercial vehicles maintained their upward trajectory, delivering approximately 80,000 units with over 50% year-on-year growth, while Chetak electric scooters registered all-time high performance with approximately 70% quarter-on-quarter growth.