Hero MotoCorp has released its financial results for the second quarter and first half of FY26-27. The company reported strong revenue growth of 21% in Q2, driven by volume increases, mix improvements, and pricing actions. EBITDA saw a 15% rise for H1, and Profit After Tax grew by 16% in H1, demonstrating healthy top-line and bottom-line expansion amidst market dynamics.
Hero MotoCorp Unveils Strong Q2 & H1 FY26-27 Financials
Hero MotoCorp has presented its financial performance for the second quarter (Q2) and the first half (H1) of the fiscal year 2026-27, showcasing robust growth across key financial metrics. The company highlighted that its strong revenue growth in Q2, which stood at 21%, was primarily propelled by a 10% volume increase, alongside improvements in product mix and effective pricing strategies.
Key Financial Highlights
Revenue from Operations
Revenue from Operations for Q2 FY27 reached ₹14,687 crore, a significant increase from ₹12,126 crore in Q2 FY26. For the first half of FY27, revenue grew to ₹27,686 crore from ₹21,705 crore in H1 FY26, marking a substantial upward trend.
EBITDA Performance
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) for Q2 FY27 stood at ₹1,968 crore, up from ₹1,823 crore in the prior year’s comparable quarter. The EBITDA margin was reported at 13.4%, which, despite commodity headwinds, was bolstered by cost savings and operating leverage. For H1 FY27, EBITDA increased to ₹3,694 crore from ₹3,205 crore in H1 FY26.
Profit After Tax (PAT)
Profit After Tax (PAT) for Q2 FY27 saw a growth of 5%, reaching ₹1,456 crore compared to ₹1,393 crore in Q2 FY26. The PAT for H1 FY27 demonstrated strong performance, growing by 16% to ₹2,911 crore from ₹2,519 crore in H1 FY26.
Strategic Growth Pillars
The presentation also detailed Hero MotoCorp’s key growth pillars, emphasizing market share expansion in the 125cc segment, premium segment penetration, and strong performance in scooter market share. The company is focusing on EV leadership, expanding its exports, growing the parts business, and building a future-fit organization. The ‘Grow the Core’ strategy includes maintaining dominance in the 100cc category with 85% market share in H1 FY27 and strengthening its premium motorcycle offerings.
EV and Motorcycle Segment Performance
In the EV segment, Hero MotoCorp’s VIDA Vahan achieved a market share of 11.0% in H1 FY27, with retails doubling. The motorcycle segment reported strong dispatch momentum, with a 6.5% YoY increase in Q2 FY27 for motorcycles and a significant 47.3% YoY increase for scooters (ICE + EV).
Expansion and Investment
Hero MotoCorp is investing for growth, planning to expand its capacity to 9.2 million units by March 2027, up from 8.63 million units in FY26. The company has reaffirmed its FY27 Capex guidance at ₹1,500 crore, with investments targeted towards commuter motorcycles, ICE scooters, GPC 2.0, EV scooters, and premium motorcycles, including a new premium line at the Neemrana plant.
ESG and CSR Initiatives
The company also highlighted its commitment to Environmental, Social, and Governance (ESG) principles. Hero MotoCorp maintained its ESG ‘Leader’ classification and received the ‘Mahatma Award 2026 for CSR Excellence’ for its initiatives on ‘Disability and Inclusion’. Key sustainability targets include 50% green dealerships and 100% zero waste to landfill operations.
Source: BSE
