Mahindra & Mahindra Q2 Profit up 28%, SUV Market Share Hits 25.7%

Mahindra & Mahindra Ltd reported a robust 28% surge in consolidated profit after tax (PAT) to Rs 3,673 crore for the second quarter of fiscal year 2026, driven by strong performance across its automotive, farm equipment, and financial services businesses.

The profit growth excludes one-time gains from a land sale in the corresponding quarter last year, tax impacts related to SML Isuzu, and prior period Production Linked Incentive (PLI) benefits in the current quarter. Without these adjustments, reported PAT growth stood at 16%.

The diversified conglomerate's consolidated revenue jumped 22% year-on-year to Rs 46,106 crore for the quarter ended September 30, 2025, reflecting sustained momentum across all major business verticals. The company's return on equity stood at 19.4% on an annualized basis.

On a standalone basis, M&M reported revenue of Rs 35,080 crore, up 21%, with PAT rising 18% to Rs 4,521 crore for the quarter.

Market Leadership Strengthens

M&M reinforced its dominant position across key segments during the quarter. The company maintained its number one position in SUVs with revenue market share climbing 390 basis points to 25.7%. In the light commercial vehicle segment under 3.5 tonnes, market share rose 100 basis points to 53.2%.

The farm equipment division recorded its highest-ever second quarter market share at 43%, up 50 basis points, while the company also led the electric three-wheeler segment with a 42.3% market share.

Rajesh Jejurikar, Executive Director and CEO of the Auto and Farm Sector, added: "Strong performance of our Auto and Farm businesses continues in Q2 F26, reinforcing our leadership position with a gain of 390 basis points year-on-year in SUV revenue share."

Automotive Division 

The automotive business reported quarterly volumes of 262,000 units (including sales by subsidiaries Last Mile Mobility and Mahindra Electric Automobile), up 13% year-on-year. UV volumes reached 146,000 units during the quarter.

Standalone profit before interest and tax (PBIT) for the auto division stood at Rs 2,281 crore, up 14%, with PBIT margins at 9.2%. Excluding electric SUV contract manufacturing, margins improved 80 basis points to 10.3%. Consolidated automotive revenue grew 25% to Rs 27,171 crore, while consolidated PAT increased 8% to Rs 1,536 crore.

Farm Equipment 

The farm equipment sector delivered standout performance with volumes surging 32% to 123,000 tractors. Standalone PBIT jumped 48% to Rs 1,684 crore, with margins expanding 220 basis points to 19.7%. Core tractor PBIT margins improved 190 basis points to 20.6%.

Consolidated revenue for the farm division rose 25% to Rs 10,225 crore, while consolidated PAT soared 45% to Rs 1,163 crore.

Dr. Anish Shah, Group CEO and Managing Director, expressed satisfaction with the quarter's performance: "We are pleased with the strong execution and solid performance delivered across the group in Q2 F26. Auto and Farm sustained their leadership with consistent gains in market share and profitability."

Financial Services and Tech Mahindra 

Mahindra & Mahindra Financial Services Ltd (MMFSL) recorded a 45% increase in PAT while maintaining strong asset quality with gross stage 3 assets remaining below 4%.

Tech Mahindra continued its margin expansion journey with EBIT margins improving 250 basis points to 12.1%, demonstrating progress on its transformation initiatives.

Growth Gems Show Promise

The company's emerging businesses, termed "Growth Gems," continued their upward trajectory. Mahindra Lifespaces reported residential pre-sales of Rs 752 crore with gross development value acquired jumping 2.6 times to Rs 1,700 crore. The aerospace division secured notable commercial wins.

Club Mahindra maintained 73% occupancy with room keys increasing 5%, while Mahindra Logistics grew revenue 11% to Rs 1,685 crore.

Overall, the services segment posted consolidated revenue of Rs 10,048 crore, up 12%, with consolidated PAT of Rs 975 crore, up 3%.

Group CFO Amarjyoti Barua highlighted the company's robust cash generation, with operating cash flow exceeding Rs 10,000 crore in the first half of the fiscal year. "Our solid Q2 consolidated results reflect the strength of our diversified portfolio. We remain committed to sustainable growth and value creation," he said.