Bajaj Auto beats on profit as exports and product mix lift June-quarter performance

Standalone net profit rose 42% year-on-year to Rs 2,983 crore, while revenue grew 36%. Bajaj Auto is targeting a capacity increase from 7 million to 9 million units annually and is expanding its Chetak EV portfolio alongside electric motorcycle development.

— Source publishedTue, 21 Jul, 2026, 20:24 IST·First seen Tue, 21 Jul, 2026, 20:47 IST·Source Financial Express · BrandWagon

What happened

Bajaj Auto beat quarterly profit estimates as volumes, realisations and product mix improved. It plans to expand annual capacity to 9 million units, deepen the

Key facts

  • Standalone net profit rose 42% YoY to Rs 2,983 crore
  • Revenue rose 36% to Rs 16,462 crore
  • EBITDA rose 42% to Rs 2,813 crore
  • EBITDA margin improved 71 bps YoY to 17.1%
  • Total sales volumes rose 29% YoY to 1.44 million units
  • Two-wheeler exports rose 52% to 636,000 units
  • Annual manufacturing capacity planned to rise about 25%, from 7 million to 9 million units
  • Electric vehicles account for around 30% of revenue

Why this matters

Bajaj Auto’s push to 9 million units of capacity and broader Chetak plus electric-motorcycle lineup makes EV technology, battery supply and charging-service partnerships increasingly strategic.

What to watch

  • Monthly export dispatch growth and commentary on Africa, Latin America, South Asia, and Middle East demand.
  • Domestic two-wheeler retail sales, rural demand indicators, financing availability, and dealer inventory levels.
  • Chetak market-share trend in electric scooters and announced specifications/pricing for Bajaj electric motorcycles.
  • Gross-margin and EBITDA-margin progression as EV mix and capacity-related costs increase.
  • Commodity prices, INR movement, battery-cell costs, and any changes in EV incentives or import duties.
  • Capex guidance, commissioning milestones, and management commentary on demand required to absorb added capacity.
  • Track monthly domestic wholesales versus retail registrations to distinguish genuine demand from channel stocking.
  • Monitor export volumes by key geography, especially three-wheelers and premium motorcycles, for confirmation that the profit beat is repeatable.
  • Watch Chetak registrations, dealer additions, product refreshes, and electric-motorcycle launch timing for evidence that EV investments are gaining scale.
  • Assess capacity-expansion phasing, capex intensity, and utilization rates to determine whether the 9 million-unit target improves operating leverage or raises oversupply risk.
  • Compare incentives, financing schemes, and discounting against Hero MotoCorp, TVS Motor, Ola Electric, Ather, and other EV competitors.