Key Quantitative Figures

  • Volumes: 1.5 million units (20% YoY growth), highest ever quarterly volume
  • Revenue: INR 20,000+ crores (34% YoY growth), highest ever quarterly revenue
  • EBITDA: INR 4,172 crores (37% YoY growth), highest ever quarterly EBITDA
  • PAT: INR 3,354 crores (35% YoY growth), highest ever quarterly PAT
  • Free Cash Flow: Nearly INR 4,000 crores (100%+ conversion of PAT)
  • Export Volumes: 780,000 units (41% YoY growth)
  • Export Revenue: Nearly $800 million
  • Domestic EV Volumes: 200,000 units (more than doubled YoY)
  • Chetak Production: 45,000 units in September (capacity constrained)
  • 3-Wheeler Volumes: 162,000 units (13% YoY growth)
  • Spares Business: INR 2,000+ crores revenue (15% YoY growth)
  • Consolidated Revenue: INR 25,126 crores (60% YoY growth)
  • Consolidated PAT: INR 3,400+ crores (60%+ YoY growth)
  • BACL PAT: INR 243 crores (85% YoY growth), AUM ~INR 21,000 crores
  • KTM Revenue: EUR 701 million (H1, 65% YoY growth), EBITDA EUR 38 million

Dates of Action

  • Conference Call Date: October 27, 2026
  • Financial Period: Q2 FY2027 (July-September 2026)
  • Filing Date: November 2, 2026
  • Price Increase: Implemented in early October 2026
  • Capacity Expansion: To be completed over next 6-9 months
  • New Product Launches: August 2026 (Pulsar 125, Pulsar 150 upgrades)

Parties Involved

  • Management: Rakesh Sharma (Joint Managing Director), Dinesh Thapar (CFO), Anand Newar (Head, Investor Relations)
  • Subsidiaries: Bajaj Mobility AG (KTM business), BACL (Bajaj Auto's financing arm)
  • Regulators: BSE Limited, National Stock Exchange of India Ltd.
  • Analysts: Participants from Bank of America, JP Morgan, Nuvama Research, Nomura, UBS Securities

Operational Highlights

Exports Performance

  • Achieved 780,000 units in Q2 (41% YoY growth)
  • Africa: 83% growth vs industry 35%
  • Latin America: 44% growth vs industry 12%
  • Asia: 5% growth vs industry decline of 7%
  • Market share in 2-wheeler exports from India increased from 44% (FY26) to 48% (H1)
  • 3-wheeler export market share increased from 60% to 63%
  • Nigeria retail at 30,000 units/month, 60% market share

Domestic Business

  • 2-Wheelers: Focus on 125cc+ segment, Pulsar portfolio refresh
  • New Pulsar launches contributed 33% of 125cc+ portfolio in festive period
  • 150cc+ segment and EV scooters growing 24% vs industry 10%
  • Company growth 32% in first 16 festive days
  • EV Business:
  • Chetak achieved 1 million scooters milestone
  • September retail: 45,000 units (capacity constrained)
  • Market share: 23% despite 20% availability impairment
  • EV business margin accretive at corporate level
  • Capacity expansion to 80,000 units/month by Q4
  • 550+ exclusive Chetak stores, adding 75 more in Q3
  • Probiking (KTM/Triumph):
  • 40,000 units in Q2 (31% YoY growth)
  • 120 joint KTM-Triumph showrooms operational
  • Contributes 15% of combined volume
  • 3-Wheelers:
  • 90% market share in CNG passenger vehicles
  • 50%+ market share in cargo segment
  • Electric 3-wheeler market growing 100%+
  • Bajaj WEGO market leader with 32% share in e-auto segment

Financial Impact

  • Input Cost Inflation: 3-3.5% of revenue impact in Q2 (cumulative 7.5-8% in H1)
  • Electrical components: mid-teens increase
  • Proprietary parts: double-digit increases
  • Conversion charges: double-digit increases
  • Metals: high single-digit to double-digit increases
  • Pricing Actions: Covered 50-60% of inflationary impact in H1
  • Currency Realization: INR 95.5/$ vs INR 94.4/$ previous quarter, INR 87.1/$ YoY
  • Other Operating Income Drivers:
  • Export incentives (3-4% of export revenue)
  • PLI accruals at maximum rate of 18% (13% base + 2% booster + 3% slab achievement)
  • Bajaj Genuine Oil royalty income
  • Margin Performance: 20.9% EBITDA margin (steady sequentially, +40 bps YoY)

Capacity and Expansion

  • Current capacity: 625,000 units/month
  • Expansion to: 775,000 units/month over next 6-9 months
  • Constraints in EVs, high-end bikes, and 3-wheeler subsegments
  • New organizational structure implemented with CBO-level positions for international and domestic business

Forward Outlook

  • Commodities: Inflationary pressures continue into Q3, estimated 2% impact
  • Currency: Potential headwind if INR remains below 95.5/$
  • Pricing: Further actions dependent on market absorption capacity
  • Growth: Expect sustained performance in exports, continued EV expansion, market share gains in premium segments