HEROMOTOCONSEHero MotoCorp Limited· Automobiles - 2 And 3 WheelersMediumNeutral
Announced Tue, 12 Aug · 18:08 IST

Please find attached herewith the transcript of the Earnings conference call for the quarter ended June 30, 2025.

Mgmt Guided Margin ImprovementMgmt Guided Margin PressureMgmt Evaded Key QuestionInvestor Communications View source PDF

HEROMOTOCO · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Hero MotoCorp reported Q1 FY26 revenue of ₹9,579 crores, EBITDA of ₹1,382 crores, and standalone PAT of ₹1,126 crores. Consolidated PAT was ₹1,706 crores, boosted by a one-time gain of ₹722 crores from dilution of stake in associate companies following their public issue. ICE EBITDA margin improved to 16.8% (up ~100 bps YoY) driven by better mix, price hikes, and LEAP cost-savings, while overall EBITDA margin held flat at 14.4% after absorbing ₹189 crores in EV business investments. Vahan market share recovered to 30.9% (up 1% sequentially), with HF Deluxe gaining 800 bps YoY to an 11-quarter high of ~67% in the entry segment. EV market share hit a record 7% in Q1, rising to over 10% in July following the launch of the VIDA VX2 with a Battery-as-a-Service (BaaS) model. Premia stores expanded to 120+ outlets covering ~47% of the premium industry footprint, and exports grew 27% YoY.

Likely market impact

Strong operational performance in the core ICE business with margin expansion is positive, but short-term margin guidance of 14–16% (with the lower band likely in the near term) and ongoing EV investment drag limit upside. The EV ramp-up, premium channel scale-up, and healthy festive outlook are constructive for the stock, while the Hero FinCorp loan book of ₹54,735 crores remains a watchpoint on credit quality.