Bajaj Auto Q2 FY27 results: net profit up 59.5% to ₹3,384 crore, revenue up 59.7%

How did Bajaj Auto perform in Q2 FY27?

On a consolidated basis, Bajaj Auto reported Q2 FY27 revenue of ₹25,126 crore, compared with ₹15,735 crore in Q2 FY26 and ₹21,689 crore in Q1 FY27. The increases were ₹9,391 crore or 59.7% year on year and ₹3,437 crore or 15.8% sequentially. Total income was ₹25,677 crore, while profit before tax was ₹4,569 crore.

Consolidated EBITDA was ₹4,896 crore in Q2 FY27, up ₹1,433 crore or 41.4% from the year-ago quarter and ₹364.78 crore or 8.1% from the previous quarter. EBITDA margin declined 2.5 percentage points year on year to 19.5% from 22.0%, and fell 1.4 percentage points from 20.9% in Q1 FY27.

Net profit was ₹3,384 crore, compared with ₹2,122 crore in Q2 FY26 and ₹3,189 crore in Q1 FY27. Basic EPS was ₹124.60, up from ₹76.00 and ₹115.50 respectively. On a standalone basis, revenue was ₹20,003.43 crore, profit before tax was ₹2,479.74 crore and profit after tax was ₹3,353.76 crore.

What changed in Bajaj Auto's costs and profit?

Total expenses increased by ₹8,430 crore or 66.5% from Q2 FY26 to ₹21,107 crore. Cost of materials rose ₹5,998 crore or 61.3% to ₹15,783 crore, employee cost rose ₹846.09 crore or 160.4% to ₹1,374 crore, and other expenses increased ₹637.75 crore or 52.3% to ₹1,858 crore.

Finance costs increased ₹181.85 crore or 63.4% from the year-ago quarter to ₹468.69 crore, while depreciation rose ₹290.05 crore or 243.8% to ₹409.04 crore. Other income fell ₹24.68 crore or 4.3% to ₹551.12 crore. The company reported no exceptional item.

Tax expense increased ₹348.71 crore or 39.8% from Q2 FY26 to ₹1,225 crore. Profit before tax rose ₹936.19 crore or 25.8% to ₹4,569 crore, while net profit increased ₹1,262 crore or 59.5% to ₹3,384 crore. Against Q1 FY27, total expenses rose ₹3,158 crore or 17.6%.

How did the first half of FY27 go?

In the first half of FY27, Bajaj Auto reported consolidated revenue of ₹46,814.39 crore, up ₹17,946.3 crore or 62.2% from ₹28,868.09 crore in H1 FY26. Total income was ₹48,053.37 crore, up ₹18,100.5 crore or 60.4%.

Profit before tax increased ₹2,402.38 crore or 36.4% to ₹8,996.16 crore, while net profit rose ₹2,240.71 crore or 51.7% to ₹6,573.18 crore. Basic EPS for the first half was ₹240.0, compared with ₹155.2 in H1 FY26.

What do the balance sheet and cash flow show?

Total assets stood at ₹81,559.12 crore on 30 September 2026, compared with ₹77,222.99 crore on 31 March 2026. Total equity was ₹37,906.84 crore versus ₹40,220.42 crore, while borrowings rose to ₹25,777.62 crore from ₹21,980.59 crore. Cash declined to ₹2,176.92 crore from ₹2,989.97 crore.

Inventories were ₹6,270.35 crore, against ₹6,294.49 crore at the previous balance-sheet date. Trade receivables increased to ₹5,310.12 crore from ₹3,473.44 crore, while trade payables rose to ₹10,799.88 crore from ₹8,804.01 crore.

H1 FY27 operating cash flow was ₹3,909.15 crore, compared with negative ₹260.45 crore in H1 FY26. Investing cash flow was positive ₹1,648.82 crore versus negative ₹4,789.54 crore, while financing cash flow was negative ₹6,381.5 crore versus positive ₹4,342.13 crore. Capital expenditure was ₹563.92 crore, against ₹203.17 crore.

How has Bajaj Auto done over the last 8 quarters?

Revenue rose in each of the last eight quarters and reached a high of ₹25,126 crore in Q2 FY27, compared with a low of ₹12,646 crore in Q4 FY25. The latest quarter followed ₹21,689 crore in Q1 FY27 and ₹17,832 crore in Q4 FY26, showing continued sequential expansion.

Net profit reached its highest level of ₹3,492.21 crore in Q4 FY26 and was ₹3,384 crore in the latest quarter, above ₹3,189 crore in Q1 FY27 but below the peak. EBITDA margin was 19.5% in Q2 FY27, above 17.2% in Q4 FY26 but below 23.0% in Q3 FY26.

Profit rose year on year in each of the last six quarters. The pattern shows higher revenue through the latest period, while profitability moved above the recent Q4 FY26 margin level but remained below the Q3 FY26 peak.

Which businesses drove the quarter?

Automotive revenue was ₹24,144.45 crore in Q2 FY27, up 58.3% from ₹15,255.92 crore in Q2 FY26. Segment EBIT was ₹4,060.1 crore, compared with ₹2,577.44 crore, and the reported EBIT margin was 16.8%.

Investments revenue was ₹355.2 crore, up 8.8% from ₹326.41 crore, while EBIT was ₹355.2 crore versus ₹325.91 crore. The segment's EBIT margin was 100.0%. Financing revenue increased 61.6% to ₹1,177.03 crore from ₹728.21 crore, and EBIT rose to ₹325.26 crore from ₹176.74 crore, with a 27.6% margin.

What else did the company announce?

The board approved the appointment of Pallavi Joshi Bakhru as a non-executive independent director for a first term of five consecutive years from 1 January 2027, subject to shareholder approval. Her appointment would run from 1 January 2027 to 31 December 2031, according to the same-day filing.

Bajaj Auto also filed that Madhusudan Gopalan had been appointed Chief Product Officer and part of senior management with effect from 16 November 2026. The filing said he brings over two decades of global business leadership experience with Procter & Gamble across sales, marketing, strategy, category management and profit-and-loss leadership. No dividend or fund-raising announcement was included in the filings provided.

What did Bajaj Auto's management say?

Management did not provide formal revenue or profit guidance. It expects double-digit two-wheeler industry growth for September–December, targets about 7.5 lakh export units per quarter, and expects overall capacity to rise from 6,25,000 to about 7,75,000 units per month over 6–9 months. Chetak capacity was expected to reach 80,000 units per month by Q4 FY27.

Management said exports reached 7.8 lakh units in Q2. Input inflation was 3%–3.5% of Q2 revenue, while October pricing recovered about 30% of estimated Q3 inflation. The company said the effective PLI accrual rate on eligible EV revenue was expected to remain at 18% in H2 FY27, and the exclusive network was expected to reach about 1,000 stores within 12 months.

Management identified supply-chain and logistics constraints, currency pressure if the rupee remained around or above ₹95, and weak monsoon and drought conditions in parts of Maharashtra, southern India and the Northeast as risks. It also noted that the current PLI scheme expires on March 31, 2028. Joint Managing Director Rakesh Sharma said: “We are expanding Chetak capacity to 80,000 per month by quarter 4, which will help us get market share and unlock new reach.”

CFO Dinesh Thapar said: “But I think internally, there is a fair amount of work that is happening on looking at the platform costs and fundamentally the next round of cost reductions that will have to come into place to be able to mitigate at least a substantial portion of the PLI.” No analyst concerns were listed in the earnings-call summary.

How did Bajaj Auto shares react?

Bajaj Auto's stock was unchanged after five minutes from the price at which the filing appeared. By the close of the first session that could trade on the news, it was up 3.2% from its pre-results close of ₹10,071. The 2/3 Wheelers industry median moved up 2.0%, leaving Bajaj Auto 1.2 percentage points ahead of the industry on the reaction day.

By the next day's close, the stock was up 4.2% from its pre-results close, while the industry median was up 4.0%. It remained up 4.2% after five sessions from the pre-results close, against a 4.0% industry median, a relative move of 0.2 percentage points. The Nifty 100 was up 0.2% on the reaction day and unchanged by the next day's close.

Earlier results-day reactions were mixed: the stock fell 1.0% on 21 July 2026, rose 1.9% on 6 May 2026, fell 1.1% on 30 January 2026 and rose 0.6% on 7 November 2025. It also fell 0.6% on 6 August 2025, 3.4% on 29 May 2025 and 13.2% on 16 October 2024, while rising 2.8% on 28 January 2025.