Bajaj Auto reported a 46% jump in net profit for the first quarter of FY27, reaching ₹3,226 crore. Revenue climbed 65% to ₹21,688 crore, supported by record sales across domestic and export markets. Investors may watch how the company manages rising input costs alongside its push into the electric vehicle segment, where sales are growing rapidly.
Detailed Coverage
Bajaj Auto Ltd. has delivered a strong performance for the quarter ending June 2026, with consolidated net profit rising 45.9% to ₹3,225.63 crore. Revenue from operations for the same period increased significantly by 65%, reaching ₹21,688.83 crore. This growth comes at a time when the broader automotive sector is focusing on balancing increased demand with the shift toward electric mobility.
Record Standalone Growth
On a standalone basis, the company achieved its highest-ever quarterly figures for revenue, EBITDA, and profit. Revenue grew by 37% year-on-year to ₹17,244 crore. This performance was broad-based, with significant contributions from both its traditional internal combustion engine (ICE) vehicles and its electric vehicle portfolio. The company noted that volume growth across both domestic and export markets played a crucial role in these results.
Profitability and Margin Trends
Standalone EBITDA rose to over ₹3,500 crore, with the EBITDA margin expanding to 20.9%, an improvement of 110 basis points compared to the same period last year. Bajaj Auto attributed this margin expansion to a combination of factors, including a more favorable product mix, strategic pricing actions, and gains from foreign exchange movements. These efforts helped the company offset the pressure from rising raw material costs, a common challenge in the automotive manufacturing sector.
Growth in Electric and Export Segments
Electric vehicles have become a meaningful part of the company's business, now accounting for nearly 30% of domestic sales. Revenue from the EV segment nearly doubled year-on-year, though management indicated that capacity limitations prevented even higher sales volume during the quarter. Meanwhile, the export business reached a milestone, with volumes crossing 7 lakh units. This export growth is particularly notable given the complexities of managing international demand and varying economic conditions in overseas markets.
Market Position and Next Steps
In the domestic motorcycle market, Bajaj Auto saw retail sales in the sports segment outpace industry trends, with models like Pulsar, Avenger, and Dominar driving volume. Moving forward, the company has indicated plans for product upgrades in the 125cc to 160cc segment to maintain its competitiveness.
For investors, the key area to track will be whether the company can continue to improve its EBITDA margins as it scales its electric vehicle capacity. Monitoring how Bajaj Auto manages potential supply chain constraints and fluctuating input costs will also be important in assessing the sustainability of these profit levels in future quarters.