Mahindra’s EV Business Posts ₹111 Cr EBITDA on ₹2,800 Cr Revenue in Q1

Mahindra & Mahindra’s electric vehicle business delivered a strong financial performance in Q1 FY26, recording ₹111 crore EBITDA (Earnings Before Interest, Taxes, Depreciation, Amortisation) on revenues of ₹2,800 crore. This reflects growing operating scale and traction across its electric SUV portfolio.

Breaking down the structure, M&M’s EV operations span two legal entities:

• Mahindra Limited, which manufactures electric vehicles under a contract model

• Mahindra Electric Automobile Ltd (MEAL), the company’s EV retail and distribution arm

Of the total ₹111 crore EBITDA, ₹90 crore was contributed by MEAL, while ₹21 crore came from contract manufacturing margins earned by M&M Limited. “The manufacturing margin is on conversion cost only, which explains why PBIT appears low at ₹7 crore despite ₹2,800 crore in revenue,” said Rajesh Jejurikar, Executive Director, Mahindra & Mahindra.

Auto Standalone Margin Stable Despite Dilution

The core auto standalone PBIT margin stood at 10%, but when the low-margin contract manufacturing for EVs is included, the reported margin dipped to 8.9%. Despite this, the overall auto business maintained profitability strength amid ongoing investments in EV capacity and scale-up.

Electric SUVs now account for 8% of Mahindra’s total SUV volumes, with the company leading the market in both revenue and volume share. Mahindra’s revenue market share in electric SUVs stood at 44.3%, and volume share at 31% in Q1 FY26. 

Mahindra’s Last Mile Mobility (LMM) segment also continued to perform strongly, with 28% category penetration and 20% growth over the previous year. At a consolidated level, the auto business reported 31% revenue growth and 15% PBIT growth, supported by robust SUV volumes, healthy margins, and continued high growth in the EV space.