Exports and Premium Bikes Drive Bajaj Auto’s Q1 Profit Surge

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Bajaj Auto has reported a strong financial performance for the first quarter of the fiscal year 2026, with its consolidated net profit jumping by 13.8% to ₹2,210.44 crore. This significant profit growth was achieved despite an 8% decline in the company’s domestic sales during the same period. The robust results were primarily driven by a surge in exports, a strong performance in the premium motorcycle segment, and the growing contribution of electric vehicles (EVs).

The company’s total consolidated revenue from operations also saw a healthy increase, rising by 10% year-on-year to ₹13,133.35 crore. This revenue growth was largely fueled by a 16% increase in exports, which reached a historical peak with 476,429 units sold. The company’s performance in international markets, particularly across Africa, Latin America, and Asia, helped offset the sluggish domestic demand. The resumption of exports to KTM following a restructuring process further contributed to the strong export numbers.

While domestic sales of two-wheelers and commercial vehicles faced headwinds, the company’s premium motorcycle and EV segments showed strong momentum. Domestic sales of premium brands like KTM and Triumph grew by 20% year-on-year, billing over 25,000 bikes. The electric scooter segment also saw impressive growth, with retail volumes for the Chetak EV more than doubling from the previous year. According to the company, EVs now contribute over 20% to its domestic revenue, a significant increase from a year ago.

Despite the positive results, the company’s EBITDA margin saw a slight contraction to 19.7%, down from 20.2% in the same period last year. This was attributed to a drop in dollar realizations, though a favorable product mix and operational efficiencies helped to partially mitigate the impact of higher costs.

Bajaj Auto’s strategic focus on exports and premium offerings has proven successful in navigating a challenging domestic market. The company’s ability to diversify its revenue streams has been key to delivering a strong profit and revenue performance, even as domestic sales volumes face pressure.