Maruti Suzuki India Limited has released its financial results for the second quarter (Q2) and first half (H1) of the fiscal year 2027. The company reported a notable 26.5% increase in sales volume for Q2 FY’27 compared to Q2 FY’26, with Net Sales growing by 26.1%. However, profitability metrics like Op. EBITDA, Op. EBIT, PBT, and PAT saw declines in the same period. The H1 FY’27 results also showed significant sales volume growth of 27.9% but a decrease in profitability.
Maruti Suzuki India Limited: Q2 and H1 FY’27 Financial Highlights
Maruti Suzuki India Limited has announced its financial performance for the second quarter ended September 30, 2026 (Q2 FY’27) and the first half ended September 30, 2026 (H1 FY’27). The presentation covers key financial metrics and sales volumes, offering insights into the company’s operational and financial standing.
Q2 FY’27 Performance Analysis
In the second quarter of FY’27, Maruti Suzuki reported a substantial increase in sales volume, with 696,654 units sold, marking a 26.5% year-on-year growth compared to 550,874 units in Q2 FY’26. This surge in sales translated into a 26.1% rise in Net Sales, reaching ₹506,155 million. However, operating profitability showed a mixed trend. Op. EBITDA decreased by 6.3% to ₹47,633 million, and Op. EBIT fell by 17.1% to ₹28,037 million. Profit Before Tax (PBT) and Profit After Tax (PAT) also saw declines of 26.2% and 26.9%, respectively.
Key financial ratios for Q2 FY’27 indicate shifts in cost structures. Material Cost as a percentage of Net Sales increased by 420 basis points to 79.9%, while Employee Cost and Other Expenses saw marginal decreases. The Op. EBITDA margin contracted to 9.4% from 12.7% in the prior year period, and the PAT margin reduced to 4.8% from 8.2%. Negative factors cited for margin movement include adverse commodity prices, foreign exchange movements, and lower non-operating income, partially offset by improved realization and cost reduction efforts.
H1 FY’27 Performance Analysis
For the first half of FY’27, Maruti Suzuki’s sales volume grew by a significant 27.9% to 1,379,378 units, up from 1,078,735 units in H1 FY’26. Net Sales saw a corresponding increase of 31.0% to ₹1,005,746 million. Similar to the quarterly performance, profitability metrics for H1 FY’27 also declined. Op. EBITDA decreased by 5.5% to ₹91,750 million, and Op. EBIT dropped by 15.7% to ₹54,354 million. PBT and PAT were down by 18.4% and 18.3%, respectively.
The H1 FY’27 financial ratios show an increase in Material Cost to 80.2% of Net Sales, an increase in Other Expenses, and a decrease in Non-Operating Income. The Op. EBITDA margin contracted to 9.1% from 12.6%, and the PAT margin fell to 5.7% from 9.2%. Adverse commodity prices, foreign exchange movements, higher manufacturing overheads, and increased depreciation expense were identified as negative factors. Positive factors included improved realization and cost reduction efforts.
Sales Volume Breakdown
The company’s sales volume for Q2 FY’27 comprised 588,535 domestic sales (up 33.6% YoY) and 108,119 exports (down 2.1% YoY), accounting for 84.5% and 15.5% of total sales respectively. Domestic sales were predominantly driven by passenger cars (Mini+, Compact+, Mid-size) and UVs. For H1 FY’27, domestic sales reached 1,146,523 units (up 31.6% YoY), while exports were 232,855 units (up 12.2% YoY). Passenger cars and UVs continued to be the largest contributors to domestic sales.
Source: BSE
