reported a strong start to FY27, driven by broad-based volume growth across domestic and international markets, resulting in record quarterly revenue and profit. The company also highlighted that exports achieved their biggest-ever quarter, reinforcing its leadership in overseas two-wheeler and commercial vehicle markets.

Total vehicle volumes increased 29% year-on-year to 14.38 lakh units during the quarter. Domestic volumes rose 11% to 7.06 lakh units, supported by healthy demand in both motorcycles and commercial vehicles. Motorcycle sales grew 11% while commercial vehicle volumes increased 13%, indicating sustained momentum across key product categories despite a competitive domestic market.

International business emerged as the biggest growth driver. Export volumes surged 54% year-on-year to 7.32 lakh units, with two-wheeler exports rising 52% and commercial vehicle exports climbing 69%. The company stated that exports delivered the strongest quarterly performance in its history, reflecting recovery in several overseas markets and continued market share gains across key geographies.

Financial performance remained equally strong. Revenue from operations increased 37% year-on-year to ₹17,243.72 crore, while EBITDA rose 44.9% to ₹3,595.34 crore. EBITDA margin expanded to 20.85% from 19.72% in the corresponding quarter last year, indicating improved operating leverage and a favourable product mix. Net profit grew 42.3% year-on-year to ₹2,982.84 crore, supported by higher volumes, better margins and continued premiumisation.

Management indicated that the domestic business delivered double-digit growth across its major segments, with motorcycles registering double-digit revenue growth. The commercial vehicle business continued its leadership trajectory, while the company maintained competitive gains across several international markets.

Looking ahead, Bajaj Auto expects further product-led growth. The company announced that upgrades across the 125cc to 160cc motorcycle portfolio are planned, aimed at strengthening competitiveness in one of India's largest and most contested segments. Product refreshes in this category are expected to help the company defend and expand its market position as consumer preferences increasingly shift toward feature-rich commuter motorcycles.

Another important highlight was the growing contribution from the company's electric and green mobility portfolio. Management disclosed that green products contributed nearly 30% of India revenues during the quarter, reflecting rising consumer acceptance of electric mobility and premium technology-led offerings. This diversification reduces dependence on conventional internal combustion engine products while positioning the company to benefit from India's long-term electrification trend.

The results underscore Bajaj Auto's ability to balance domestic growth with international expansion. While exports have historically been cyclical, the current recovery across overseas markets has significantly strengthened the company's earnings profile. At the same time, steady domestic demand and improving product mix continue to support healthy profitability.

Market Impact on India

The strong quarterly performance reinforces confidence in India's automobile sector, particularly export-oriented manufacturers. Higher export momentum supports manufacturing activity, foreign exchange earnings and supplier demand across the automotive value chain.

Sector Impact

The results are positive for the automobile and auto-component sectors. Strong export recovery, premium product demand and increasing electric vehicle contribution indicate improving industry fundamentals. Suppliers linked to motorcycles, commercial vehicles and EV components may also benefit from sustained production growth.

Bull vs Bear Scenario

The bullish view is that record exports, expanding margins and rising contribution from the green portfolio provide multiple growth drivers for Bajaj Auto. Planned upgrades in the 125cc–160cc segment could further strengthen domestic market share.

The bearish view is that export momentum may moderate if global demand weakens or currency volatility increases. Intense competition in the domestic motorcycle market and changing EV subsidy policies could also affect future growth.

Risk Section

Key risks include fluctuations in overseas demand, raw material price volatility, foreign exchange movements and competitive pricing pressure in the domestic two-wheeler market. Regulatory changes affecting electric vehicles or exports could also influence future profitability.

Overall, Bajaj Auto delivered one of its strongest quarterly performances in recent years, combining record export volumes, healthy domestic demand and margin expansion. The company's balanced growth strategy across conventional and electric mobility segments provides a solid foundation for the remainder of FY27.