Mahindra & Mahindra (M&M) Q1 25/26 earnings summary

Executive summary

• Consolidated profit after tax rose 24% year-over-year to ₹4,083 crore, with ROE reaching 20.6% for the first time, surpassing the 18% target.

• Revenue increased 22% at the consolidated level, with broad-based growth across Auto, Farm, Financial Services, and Growth Gems.

• All business segments contributed to strong performance, with notable market share gains in SUVs and tractors.

• Auto and Farm segments delivered stable or expanding margins, and Tech Mahindra showed EBIT margin recovery.

• Growth Gems businesses continued momentum, contributing to overall profitability.

Financial highlights

• Consolidated revenue increased 22% year-over-year to ₹45,529 crore in Q1 F26.

• Consolidated PAT up 24% to ₹4,083 crore year-over-year.

• Auto segment revenue up 31% to ₹25,999 crore; Farm segment revenue up 12% to ₹10,892 crore.

• EPS for the quarter at ₹36.4, a significant increase from the prior year.

• Standalone revenue grew 26% to ₹34,143 crore, with standalone PAT up 32% to ₹3,450 crore.

Outlook and guidance

• SUV growth guidance maintained at mid to high teens, supported by new electric SUV launches and variant refreshes.

• Tech Mahindra EBIT margin recovery on track, targeting 15% by FY 2027.

• Real estate segment on plan for 14x growth in pre-sales this decade.

• MMFSL asset quality remains in line with commitments, with AUM up 15% year-over-year.

• The company is monitoring the impact of the new Environment Protection (End-of-Life Vehicles) Rules, 2025.