TVS Motor Q2 preview: PAT may zoom upto 45% YoY; other key estimates inside

TVS Motor Company Q2 preview: Brokerages expect a strong performance from two wheeler giant TVS Motor Company in the September quarter (Q2FY26), driven by robust volume growth, an improved product mix, and favorable market dynamics. 

 

Analysts anticipate standalone revenues to rise 26-29 per cent Y-o-Y, supported by higher domestic dispatches, export volumes, and the contribution of premium models. Ebitda margins are likely to expand by 115-122 basis points (bps), aided by PLI incentives, operating leverage, and cost efficiencies, though slightly offset by the margin-dilutive mix of EV scooters. 

 

Consequently, net profit is projected to surge 33-48 per cent Y-o-Y, reflecting healthy operational performance and improving scale, making Q2 one of the high-growth quarters for the company.

 

On the bourses around 11:00 AM, TVS Motor share price was trading 0.27 per cent higher at ₹3,609.65 per share. In comparison, BSE Sensex was trading 0.33 per cent lower at 84,279.72 level.

Meanwhile, here’s what top brokerage expect from TVS Motor in Q2 show:

Axis Securities

 

According to analysts, revenues are expected to increase by ~29 per cent Y-o-Y, led by a 23 per cent Y-o-Y rise in volumes and a richer domestic vehicle mix, partly offset by higher export volumes.

 

Ebitda margins are expected to expand by ~122 bps Y-o-Y, with 40–50 bps contribution from PLI income, higher operating leverage, and cost-control measures, partly offset by the margin-dilutive mix of EV scooters.

 

Thus, the brokerage expects TVS Motor standalone revenue at ₹11,889 crore, up 28.8 per cent Y-o-Y; Ebitda at ₹1,536 crore, up 42.3 per cent Y-o-Y; Ebitda margin at 12.9 per cent; PAT at ₹970 crore, up 46.4 per cent Y-o-Y.

InCred Equities

 

InCred Equities analysts expect TVS Motor Company to be among the high Y-o-Y growth achievers in Q2FY26, driven by strong volume dispatch and product mix. However, Ebitda estimates are slightly below Bloomberg consensus, suggesting that profitability may lag market expectations.

 

Therefore, they expect revenue at ₹11,662.1 crore, up 26.4 per cent Y-o-Y; Ebitda at ₹1,428.6 crore, up 32.3 per cent Y-o-Y; adjusted PAT at ₹881.4 crore, up 33 per cent Y-o-Y.  ALSO READ | Dr Reddy's Q2 preview: Profit may moderate as US sales dip; check estimates

Nuvama Institutional Equities (Nuvama)

 

Robust volumes, better model mix, and USD appreciation are expected to support Y-o-Y revenue growth, analysts at Nuvama said. Ebitda margins are likely to expand on better scale and PLI incentives. Key things to watch include e-mobility initiatives and overall demand outlook.

 

Thus, analysts expect revenue at ₹11,869.8 crore, up 29 per cent Y-o-Y; Ebitda at ₹1,488.5 crore, up 38 per cent Y-o-Y; adjusted PAT at ₹959.6 crore, up 45 per cent Y-o-Y.

SMIFS Limited

 

Volumes grew ~23 per cent Y-o-Y, led by broad-based growth across segments, analysts noted. Realisations are expected to improve by 4.5 per cent Y-o-Y due to a better product mix, driven by higher contributions from exports and 3W. 

 

Ebitda margin is expected to improve ~115 bps Y-o-Y, reflecting better mix and operating leverage. Adjusted PAT is projected to grow ~48 per cent Y-o-Y and ~26 per cent sequentially.

 

Hence, analysts expect standalone revenue at ₹11,832 crore, up 28.2 per cent; Ebitda at ₹1,521 crore, up 40.9 per cent Y-o-Y; Ebitda margin at 12.9 per cent; and adjusted PAT at ₹957 crore, up 48.3 per cent Y-o-Y.