Mahindra & Mahindra: Riding High with Record Growth in Q2 FY25

Mahindra & Mahindra Limited reported a remarkable 35% rise in Profit After Tax in Q2 FY25, reaching Rs 3,171 crore. The company maintained its dominance in SUVs, LCVs, tractors, and electric three-wheelers, achieving significant market share and revenue growth across all segments, driven by strategic launches and increased production capacity.

Mahindra & Mahindra Limited (M&M) has announced a robust performance for the second quarter of Financial Year 2025, with a consolidated Profit After Tax (PAT) of Rs 3,171 crore, marking a 35 percent year-on-year surge. The automotive giant has sustained its leadership in India across SUVs, light commercial vehicles, tractors, and electric three-wheelers, recording a consolidated revenue of Rs 37,924 crore, a 10 percent increase from the previous year.

In the SUV sector, M&M reinforced its market dominance with a 21.9 percent revenue market share, a 190 basis point rise from the previous year, accompanied by an 18 percent growth in SUV volumes for the quarter and 21 percent year-to-date. The company also captured a dominant 52.3 percent market share in LCVs below 3.5 tons, while achieving a record 42.5 percent market share in the tractor division for Q2. M&M leads the electric three-wheeler segment with a 43.6 percent market share.

The Auto division achieved record volumes of 2,31,000 units, reflecting a 9 percent increase, with SUV volumes reaching an unprecedented 1,36,000 units. This resulted in a 15 percent rise in the segment's consolidated revenue to Rs 21,755 crore, alongside a 40 percent increase in PAT to Rs 1,423 crore. The launch of the Thar Roxx and an expansion in SUV production capacity by 10 percent were key contributors to this growth.

In the Farm sector, M&M reached a record Q2 market share of 42.5 percent, with a 4 percent year-on-year volume rise, despite facing challenges in international markets. The division's revenue totaled Rs 8,194 crore, while standalone Profit Before Interest and Tax (PBIT) grew by 20 percent, improving margins to 17.5 percent. Mahindra Finance reported a 20 percent growth in assets under management and reductions in non-performing assets and end losses.

Tech Mahindra bolstered the overall performance with a 490-basis point improvement in EBIT margin, notably excelling in the BFSI sector. Anish Shah, Managing Director & CEO of M&M Ltd., stated that their businesses showed strong operational performance, with Auto and Farm sectors enhancing market leadership. He noted TechM's positive quarter and affirmed the company's focus on reverting to past profitability, with notable progress on the 5x challenge.

(With inputs from agencies.)