| Net Profit Growth YoY | 41.65%Q4 FY26 |
|---|---|
| Market Capitalization | ₹4,14,145 CrLarge Cap |
| Revenue TTM | ₹1,98,716 CrOperating Revenue |
| PEG Ratio | 0.75TTM Basis |
Key highlights
- Quarterly revenue increased 29% YoY to ₹54,981.91 Cr, while net profit grew 41.65% to ₹4,667.57 Cr.
- The company achieved a 20% Return on Equity (ROE) and reported an annualized EPS growth of 57% over the last five years.
- Auto standalone margins stood at 10.9%, while the Farm segment maintained core margins at 20.4%.
- Management announced a massive product pipeline of 16 new SUV models, including 6 Battery Electric Vehicles (BEVs), by FY31.
- The Aero structures business reported significant momentum with over $1 billion in new orders secured within the last 12 months.
- AI-led initiatives are expected to drive ₹10,000 Cr in incremental disbursements for the financial services division.
Financial Performance
Mahindra & Mahindra's automotive division remains a primary growth engine, with revenue increasing 33% over the full year. For the fourth quarter, standalone revenue rose 29% YoY, while net profit surged 41.65% to ₹4,667.57 Cr. The SUV portfolio saw significant traction, particularly with the XUV7XO recording 9,500 monthly bookings.
Standalone automotive margins reached 10.9%, demonstrating efficiency despite competitive pricing. The company implemented a calibrated 1.6% price hike while maintaining headroom against pre-GST levels. Overall volume growth for the Auto segment stood at 19%, reflecting strong consumer demand for utility vehicles and effective supply chain management.
Management Outlook
Management has adopted a strategy titled 'Accelerate in Uncertainty,' focusing on rapid product cycles and AI integration. For FY27, the company anticipates SUV volume growth in the mid-to-high teens and tractor growth of approximately 5%. The long-term roadmap includes the launch of 16 new SUV models, including 10 Internal Combustion Engine (ICE) versions and 6 electric models, by FY31.
In the farm sector, 19 new tractor launches are planned. The company is also scaling its SUV capacity toward 60,000 units per month, with a new manufacturing facility in Nagpur scheduled to become operational by 2028.
Sector Dynamics
The Indian automotive and farm sectors are experiencing divergent trends. While SUV demand remains robust with high visibility in order books, the farm equipment sector faces potential headwinds from rainfall deficits, which could impact rural demand. M&M's farm segment reported a 13% profit increase for the full year, with core margins resilient at 20.4%, despite international subsidiary impairments of ₹1,400 Cr.
The industry is also pivoting toward electrification; M&M expects to meet CAFE targets through an estimated EV penetration of 13% to 21% in its portfolio, balancing traditional engines with new-age battery technology.
What to Watch
- Execution of the BEV roadmap with 6 new electric SUV models scheduled for launch by FY31.
- Impact of monsoon patterns on domestic tractor demand and the realization of the 5% growth guidance.
- Monetization and growth of 'Growth Gems' subsidiaries, which saw a 50% profit increase this year.
- Stabilization of supply chains regarding memory chips and other volatile components.
- Progress of the Nagpur manufacturing plant and its contribution to the 2028 capacity targets.
Strategic AI Integration
Strategy focuses on 'Accelerate in Uncertainty' through AI deployment and aggressive product cycles.
“Mahindra & Mahindra delivered record Q4FY26 results with PAT up 42% and 20% ROE.”
| Share price | ₹3330.4 |
|---|---|
| Market capitalisation | ₹4.14L Cr |
| Revenue (annual) | ₹1.99L Cr |
| Net profit (annual) | ₹17,098.85 Cr |
| Revenue (latest quarter) | ₹54,981.91 Cr+5.53% vs previous quarter |
| Net profit (latest quarter) | ₹4,667.57 Cr-0.15% vs previous quarter |
| P/E (TTM) | 24.22×Sector 32.56× |
| Promoter holding | 18.45%+0.01% QoQ |
| FII holding | 36.23%Current quarter |
Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.
Exchange filing by Mahindra & Mahindra Ltd announcing its Q4 FY26 results and investor presentation. Market figures from a third-party data provider.
