Stock Report

Mahindra & Mahindra Reports Stellar Q1 FY27 Results: Consolidated Net Profit Surges 33.6% YoY to ₹5,455 Crore Driven by Strong Automotive Performance

Posted On : 2026-07-31 12:55:51( TIMEZONE : IST )

Indian industrial conglomerate Mahindra & Mahindra Limited (M&M) has reported its unaudited consolidated and standalone financial results for the first quarter ended June 30, 2026 (Q1 FY27). Anchored by double-digit operational expansion in its automotive core and solid performances across its farm equipment and services divisions, the group delivered robust top-line and bottom-line growth.

Consolidated Financial Performance Overview

For Q1 FY27, Mahindra & Mahindra registered strong multi-segment performance on a consolidated basis:

Total Revenue from Operations: Rose 26.63% year-on-year (YoY) to ₹57,533.44 crore, compared to ₹45,435.88 crore recorded in Q1 FY26. Sequentially, operational revenue grew by 4.81% from ₹54,891.55 crore in Q4 FY26.

Income from Operations: Total income from operations (including investment returns from subsidiaries, associates, and joint ventures) climbed to ₹58,187.57 crore, up from ₹45,529.19 crore in Q1 FY26.

Total Income: Stood at ₹59,203.60 crore, inclusive of ₹1,016.03 crore in other income, compared to ₹46,446.11 crore in the corresponding period of the previous year.

Profit Before Tax (PBT): Surged 35.15% YoY to ₹7,628.09 crore in Q1 FY27, up from ₹5,644.11 crore in Q1 FY26. This includes a ₹367.49 crore share of profit from associates and joint ventures.

Profit After Tax (PAT): Advanced 37.04% YoY to ₹5,997.56 crore, compared to ₹4,376.58 crore in Q1 FY26.

Net Profit Attributable to Owners: Expanded 33.58% YoY to ₹5,454.54 crore, up from ₹4,083.32 crore in Q1 FY26 and ₹4,667.57 crore in Q4 FY26. Non-controlling interests accounted for ₹543.02 crore.

Total Comprehensive Income: Net comprehensive income attributable to owners reached ₹5,512.16 crore, up from ₹4,329.76 crore in Q1 FY26.

Consolidated Earnings Per Share (EPS): Basic EPS rose to ₹48.80 per share (Face value ₹5 per share) compared to ₹36.58 in Q1 FY26, while diluted EPS stood at ₹48.59 per share.

Standalone Financial Results

On a standalone basis, M&M demonstrated robust operational scale and bottom-line growth:

Revenue from Operations: Grew 22.99% YoY to ₹41,919.74 crore in Q1 FY27, compared to ₹34,083.23 crore in Q1 FY26 and ₹39,554.13 crore in Q4 FY26.

Income from Operations: Reached ₹41,958.76 crore, up from ₹34,142.96 crore in Q1 FY26.

Profit Before Tax (PBT): Stood at ₹4,775.89 crore, expanding 6.81% YoY over ₹4,471.25 crore recorded in Q1 FY26.

Profit After Tax (PAT): Reached ₹3,684.97 crore, marking a 6.82% YoY increase compared to ₹3,449.84 crore in Q1 FY26.

Standalone EPS: Basic EPS for the quarter was recorded at ₹30.65 per share, up from ₹28.73 per share in Q1 FY26, with diluted EPS at ₹30.57 per share.

Segment-Wise Performance Analysis

1. Automotive Segment

The Automotive division remained the primary engine of top-line expansion for the group:

Segment Revenue: Soared 32.27% YoY to ₹34,387.25 crore in Q1 FY27, compared to ₹25,998.71 crore in Q1 FY26 and ₹34,294.18 crore in Q4 FY26.

Segment Results (PBIT): Segment results after exceptional items and share of associate profits stood at ₹2,644.72 crore, growing 28.27% YoY compared to ₹2,061.81 crore in Q1 FY26.

2. Farm Equipment Segment

The Farm Equipment division delivered steady performance and profitability improvement:

Segment Revenue: Rose 14.77% YoY to ₹12,500.77 crore, up from ₹10,891.56 crore in Q1 FY26 and showing a substantial jump from ₹10,022.10 crore in Q4 FY26.

Segment Results (PBIT): Segment results expanded 9.20% YoY to ₹1,781.11 crore, compared to ₹1,631.01 crore in Q1 FY26 and ₹1,019.34 crore in Q4 FY26.

3. Financial Services Segment

Segment Revenue: Increased 14.57% YoY to ₹5,697.83 crore, compared to ₹4,973.23 crore in Q1 FY26.

Segment Results (PBIT): Rose sharply by 78.94% YoY to ₹1,223.60 crore, compared to ₹683.79 crore in Q1 FY26.

4. Industrial Businesses and Consumer Services

Segment Revenue: Expanded 46.94% YoY to ₹7,200.72 crore, up from ₹4,900.56 crore in Q1 FY26.

Segment Results (PBIT): Surged to ₹1,346.26 crore, compared to ₹688.40 crore in Q1 FY26 and ₹1,001.66 crore in Q4 FY26.

Total gross segment revenue across all units reached ₹59,786.57 crore, which was adjusted for inter-segment eliminations of ₹1,599.00 crore to yield net operational income of ₹58,187.57 crore.

Financial Ratios & Balance Sheet Strength

Mahindra & Mahindra maintained a conservative balance sheet and strong liquidity metrics across its non-financial operations:

Debt-Equity Ratio: Remained exceptionally low at 0.04 times (excluding Financial Services) as of June 30, 2026.

Interest Service Coverage Ratio (ISCR): Stood at 37.37 times (excluding Financial Services) for Q1 FY27, up from 31.74 times in Q1 FY26.

Debt Service Coverage Ratio (DSCR): Stood at 6.78 times (excluding Financial Services).

Net Profit Margin: Consolidated net profit margin expanded to 10.31%, compared to 9.61% in Q1 FY26 and 9.57% in Q4 FY26.

Operating Margin: Operating margin (excluding investment-related income/loss) was recorded at 13.57%, while overall operating margin reached 14.09%.

Net Worth: Consolidated net worth under the Companies Act, 2013 reached ₹95,949.03 crore as of June 30, 2026, compared to ₹81,193.49 crore as of June 30, 2025.

Asset Base: Total consolidated assets expanded to ₹3,33,322.72 crore, backed by segment assets of ₹57,322.39 crore in Automotive, ₹19,344.48 crore in Farm Equipment, ₹1,60,355.57 crore in Financial Services, and ₹41,525.89 crore in Industrial Businesses and Consumer Services. Total consolidated liabilities stood at ₹2,18,647.22 crore.

Operational Ratios: Annualised debtors turnover ratio stood at 21.73 times, while the inventory turnover ratio was 6.84 times for the quarter. Current ratio was maintained at 1.31 times.

Commenting on Q1 F27 performance

Dr. Anish Shah, Group CEO & Managing Director, M&M Ltd., said, "We are delighted to report a strong start to F27, despite a quarter marked by macro headwinds. The strength of our diversified portfolio coupled with proactive actions to navigate through this challenging environment has enabled us to deliver strong results. Our Auto and Farm businesses continued to strengthen their leadership positions, despite this dynamic environment. TechM and MMFSL have made notable progress on their strategic priorities while our Growth Gems accelerated their growth momentum."

Mr. Rajesh Jejurikar, Executive Director & CEO (Auto and Farm Sector), M&M Ltd. said, "Auto and Tractor business demonstrated strong resilience in Q1 F27. We have achieved a QoQ increase of 50 bps in SUV revenue market share and 150 bps in LCV (< 3.5T) volume market share. XEV 9S emerged as highest selling EV in India by Volume. Our Tractors business gained 280 bps QoQ to reach 44.9% market share in Q1 F27. Auto business PBIT Margin excluding eSUV contract manufacturing is 8.3% and our Core Tractor PBIT margin is 19.2% despite commodity inflation."

Mr. Amarjyoti Barua, Group Chief Financial Officer, M&M Ltd. said, "We are pleased to report resilient performance across our businesses in Q1 F27 recording a PAT growth of 34%. Our supply chain teams have executed remarkably well to navigate through a very uneven environment, marked by significant commodity inflation. We remain committed to our path of value creation while maintaining a strong balance sheet."

Shares of Mahindra & Mahindra Limited was last trading in BSE at Rs. 3278.90 as compared to the previous close of Rs. 3223.15. The total number of shares traded during the day was 437863 in over 42483 trades.

The stock hit an intraday high of Rs. 3325.00 and intraday low of 3193.75. The net turnover during the day was Rs. 1431129340.00.