Hero MotoCorp posts highest-ever quarterly revenue as GST cuts spur demand

Hero MotoCorp, India’s largest two-wheeler maker, on Thursday mentioned its revenue rose 15% year-on-year to ₹1,275 crore within the third quarter of economic yr 2026 (FY26), whereas revenue climbed 21% to ₹12,784 crore.

The file quarterly revenue was pushed by a 16% rise in gross sales to 1.69 million models, as the late-September GST cuts got here into full impact throughout October–December.

“Conducive macroeconomic elements and beneficial GST 2.0 tailwind helped in revival of rural demand, which additional drove client traction for bikes, and progress for the economic system,” Vivek Anand, chief monetary officer at Hero MotoCorp, mentioned in a press release on the quarterly outcomes.

Excluding a one-time impression of ₹119 crore from the brand new labour codes, the New Delhi-based firm posted a internet revenue of ₹1,439 crore, its highest-ever for 1 / 4.

TVS, Bajaj Auto additionally clock all-time highs

Hero’s numbers are according to TVS and Bajaj, which recorded their very own highest-ever quarterly revenue and income throughout the October-December interval. Hosur-based TVS noticed its consolidated internet revenue leap 46% year-on-year to a file ₹891 crore throughout the October to December quarter, whereas Pune-based Bajaj Auto posted a 25% improve in consolidated internet revenue to ₹2,749 crore.

TVS’ revenue grew 33% year-on-year to ₹14,745 crore whereas Bajaj Auto’s revenue rose 23% to ₹16,640 crore.

Shares of Hero, TVS and Bajaj Auto have risen 6%, 7% and 12%, respectively, for the reason that begin of the festive season in October, outperforming the Nifty Auto index, which is up 3% over the identical interval.

Exports, demand momentum elevate outlook

Investor bullishness additionally acknowledges the truth that all of the three corporations have seen a powerful progress in exports within the October-December quarter. Whereas Hero noticed a 41% rise in volumes, TVS noticed a 35% leap in exports, whereas Bajaj Auto noticed a 14% progress.

All of the three two-wheeler makers have offered a bullish outlook, betting that the demand momentum will proceed within the coming months.

Analysts have famous that the trade traits for January counsel that momentum in gross sales has solely strengthened up to now few months.

“Retail traits remained robust throughout most segments, suggesting sustained momentum after the festive season. The export section continued to witness robust traction throughout the CV, tractor and 2W segments. Most OEMs (authentic gear producers) reported numbers forward of our expectations,” analysts at Kotak Institutional Equities wrote in a 2 February be aware.

Trade progress past festivals

Based on knowledge from the Society of Indian Car Producers (Siam), two-wheeler gross sales rose 17% to five.7 million models throughout October-December, the highest-ever for the quarter, as festivals and GST cuts lifted demand.

“We’ve grown forward of the trade, and we’re very assured that this momentum will proceed each on the trade facet, and we are going to more likely to do higher than the trade progress in This fall,” Ok.N. Radhakrishnan, director and chief govt at TVS Motor, had mentioned throughout the earnings name on 28 January.

Becoming a member of the bullish commentary on demand, Bajaj Auto’s govt director Rakesh Sharma mentioned on 30 January that the standard of progress has improved, as prospects sought to improve their merchandise throughout the quarter.

“The motorbike trade moved from a good detrimental zone into double-digit constructive progress, additionally it is the standard of progress, with the higher segments outperforming the decrease segments and which performs very properly for us as a result of our portfolio pivots on the proposition of attempting to steer the shoppers to improve,” Sharma advised reporters.

Sharma added that the momentum within the trade will proceed as lengthy as inflation charges stay underneath management.