Hero MotoCorp delivered its strongest financial performance in history for fiscal year 2026, achieving record-breaking revenue and profit. The company maintained its status as the world’s largest two-wheeler manufacturer for the 25th consecutive year. Driven by strong demand in scooters, premium motorcycles, and electric vehicles (EV), the company is now accelerating capital investments to bolster capacity, technology, and global reach while navigating near-term commodity headwinds.
Record-Breaking Financial Results
Hero MotoCorp concluded fiscal year 2026 with historic highs, reporting total revenue of ₹46,830 crore, representing a 15% growth year-on-year. Profit after tax (PAT) rose to ₹5,268 crore, an increase of 14%, while EBITDA reached ₹6,871 crore, up 17%. The board has declared a final dividend of ₹75 per share, bringing the total dividend for the year to ₹185 per share, the highest ever for the company.
Q4 Performance Highlights
For the fourth quarter ended March 31, 2026, the company achieved its highest-ever quarterly revenue of ₹12,797 crore, a 29% increase over the previous year. Quarterly PAT grew by 30% to ₹1,401 crore. Despite commodity cost pressures, the company maintained an ICE business EBITDA margin of 17%, supported by pricing actions and LEAP efficiency programs.
Strategic Investments and Capacity Ramp-Up
Hero MotoCorp is committing ₹1,500 crore in capital expenditure for FY ’27, primarily focused on expanding production capacity for scooters and EVs. The company is also investing ₹700 crore in a new global parts center in South India. EV capacity is undergoing aggressive scaling, with plans to double output within the coming quarters to meet strong demand for the VIDA brand.
Growth Drivers and Future Outlook
The company continues to see strong momentum across its portfolio. Scooter volumes grew 48% year-on-year, while the Harley-Davidson premium range saw a 26% growth. Looking ahead, Hero MotoCorp is prioritizing technology, including Gen AI for customer operations, connected vehicle platforms, and the development of low-emission powertrains, including flex-fuel engines. Management remains bullish on long-term growth, citing urban expansion and rising demand in emerging markets as key pillars for sustained success.
Source: BSE
