• The document is a transcript of Ashok Leyland's Q1 FY27 Earnings Conference Call held on August 14, 2026, from 5:15 PM IST to 6:15 PM IST.
  • The call was moderated by Mr. Joseph George from IIFL Capital and featured management participants Mr. Shenu Agarwal (Managing Director and CEO) and Mr. K.M. Balaji (Whole-Time Director and CFO).
  • The purpose was to discuss the unaudited financial results for the quarter ended June 30, 2026 (Q1 FY27).

Financial Performance Highlights:

  • Record Q1 revenue of ₹9,634 crores, up 10% YoY
  • EBITDA flat at ₹970 crores with margin at 10.1% (100 bps lower YoY)
  • Profit Before Tax (PBT) at ₹830 crores, up 4% YoY
  • Profit After Tax (PAT) at ₹609 crores, up 3% YoY
  • Material costs increased to 71.5% of revenue (90 bps higher YoY)
  • Capex for the quarter: ₹153 crores focused on new products and EV technologies
  • Net cash position strengthened to ₹2,252 crores (increase of ₹1,431 crores YoY)

Operational Highlights:

  • Total CV volumes: 48,673 units (all-time high for Q1)
  • Domestic MHCV truck volume: 22,998 units (+15% YoY)
  • Domestic LCV volume: 18,874 units (+21% YoY, record high)
  • Exports: 2,461 units (-18% YoY due to GCC logistical challenges)
  • Market share: Domestic MHCV at 29%, LCV VAHAN at 13.2% (+30 bps YoY)
  • Non-CV businesses showed strong growth: Aftermarket revenue +12.7% YoY, Power Solutions +51% YoY, Defense business +64% YoY

Subsidiary Performance:

  • Switch Mobility India: Won order for 650 electric buses (total order book: 2,100 e-buses), delivered 225 e-buses and ~300 e-LCVs in Q1
  • OHM Mobility: Operational fleet exceeded 1,900 e-buses (+500 units in Q1), progressing toward PAT breakeven
  • Hinduja Leyland Finance: AUM grew 20% YoY to ₹60,310 crores, PAT up 37% to ₹123 crores
  • Hinduja Housing Finance: AUM grew 13% YoY to ₹16,157 crores, PAT maintained at ₹69 crores
  • Consolidated net NPAs for both finance companies at 2.1%

Strategic Updates:

  • Reverse merger of HLF with NDL Ventures progressing with shareholder and creditor approvals received, awaiting NCLT approval
  • New product launches: Air suspension technology in multi-axle trucks (industry first), HIPPO tractors, TAURUS tippers
  • Network expansion: Added 33 touch points in Q1 (total 2,137 touch points)
  • ESG: RE100 achievement at 77% (Tamil Nadu plants at 91%), social programs reaching 6.4 lakh students

Outlook and Guidance:

  • Management expects commodity cost pressures to continue in Q2 with potential softening in Q3/Q4
  • Price increases taken: 1.2-1.25% in Q1, additional 1%+ for MHCV and 2%+ for LCV in July
  • Industry outlook: Domestic MHCV industry grew 13% YoY in Q1, expected to maintain strong momentum
  • Focus areas: Premiumization, cost savings (Achieve 2K project), operational discipline

Additional Notes Section

  • The transcript was filed pursuant to SEBI Regulations 30 and 46(2)(oa)(ii) of Listing Obligations and Disclosure Requirements, 2015.
  • The document includes the complete Q&A session with analysts covering margin outlook, commodity costs, export recovery, regulatory changes, and competitive landscape.