Financial Performance Highlights

Q4 FY26 Consolidated Performance:

  • Revenue: ₹6,080 crores (record performance)
  • EBITDA: ₹1,514 crores
  • Profit After Tax: ₹1,520 crores

Full Year FY26 Consolidated Performance:

  • Revenue: ₹23,408 crores
  • EBITDA: ₹5,785 crores
  • Profit After Tax: ₹5,515 crores
  • Final dividend recommended: ₹82 per share

Royal Enfield Business Performance

Sales Performance:

  • Annual sales: 1.227 million motorcycles (highest ever)
  • Domestic sales: 1.1 million units (23% growth)
  • International sales: 120,634 units (20% growth)
  • April 2026 sales: 1.04 lakh units (57% growth year-on-year)

Market Performance:

  • Brazil became largest international market with 71% growth
  • Nepal showed spectacular growth driven by Classic 350 and Hunter 350
  • 30% of customers below age of 25
  • J.D. Power ranked highest in overall 2-wheeler initial quality
  • Ranked #1 in FADA Dealer Satisfaction Survey
  • Ranked #3 in world's strongest automobile brand by Brand Finance

Product Updates:

  • Launched 2026 Guerrilla 450 Apex variant
  • Upgraded 2025 Hunter 350, Meteor 350, Goan Classic 350, and Himalayan Mana Black
  • Meteor 350 crossed 6 lakh cumulative sales since 2020 launch
  • Himalayan 450 recorded 53% growth with over 38,000 global retails
  • Flying Flea C6 electric motorcycle launched in Bangalore in April 2026

Allied Businesses:

  • Apparel business grew 21% year-on-year
  • Genuine Motorcycle Accessories global revenue grew 32%
  • Spare parts business recorded 18% year-on-year growth

VECV Business Performance

Sales Performance:

  • Total units: 103,404 units (15% growth year-on-year)
  • Eicher brand heavy-duty trucks: 25,155 units (14.1% growth, 9.1% market share)
  • LMD trucks: 46,195 units (maintained leadership)
  • Pro X trucks: 2,452 units (including 726 EVs)
  • Eicher buses: 18,651 units
  • Volvo buses: 712 units (record)
  • Volvo trucks: 1,712 units
  • Exports: 6,933 units (33.9% growth)
  • Spare parts sales: ₹3,045.5 crores (13.9% growth)

Q4 FY26 VECV Performance:

  • Revenue: ₹8,280.6 crores
  • EBITDA: ₹921.5 crores
  • Profit After Tax: ₹595.8 crores

Full Year FY26 VECV Performance:

  • Revenue: ₹27,076.6 crores
  • EBITDA: ₹2,562.6 crores
  • PAT: ₹1,471 crores

Strategic Developments

Joint Venture Announcement:

  • 50-50 joint venture with Volvo Group for vehicle financing business
  • Investment of up to ₹750 crores for 50% stake in Volvo Financial Services India
  • VFS India has assets under management of ₹1,806 crores
  • JV will serve Eicher, Volvo and Royal Enfield customers in India
  • Will function as captive financing arm for VECV, EML and Volvo Group products

Capacity Expansion Plans:

  • ₹958 crores brownfield expansion at Cheyyar facility, Tamil Nadu
  • Capacity to increase to 2 million units by Q2 FY28
  • Current capacity: 1.4 million units, increasing to 1.6 million units by June-July 2026
  • New greenfield facility planned in Andhra Pradesh (261 acres acquired)

Sustainability Initiatives:

  • Oragadam facility recognized as Sustainable Factory of the Year by Frost & Sullivan
  • VECV implemented 4.5 megawatt rooftop solar project (expected 25% emission reduction)
  • VECV cycled 52 million liters of water through artificial lake at Bhopal plant
  • 66,000 trees planted (expected to offset 660 tons carbon emissions)

Management Commentary

Demand Outlook:

  • Premium motorcycle segment showing strong growth momentum
  • Inquiries growing 23% compared to previous year
  • Current inventory levels at 7-8 days (including depot inventory)
  • Structural demand remains strong with no correction observed

Commodity Inflation Impact:

  • Q4 FY26: 90 basis points impact from commodity costs
  • Mitigated through 70 basis points price increase and 20 basis points cost reduction
  • Q1 FY27: Expected 3-3.5% impact on material costs
  • April 2026 price increase of 1.75% implemented
  • Additional value engineering and cost reduction measures underway

Operational Challenges:

  • Temporary disruptions due to elections, manpower availability, LPG shortages
  • Production numbers recovering in recent days
  • Supply chain volatility being managed

Management Changes

  • B. Srinivas assumed role of Managing Director and CEO of VECV in March 2026
  • Vinod Aggarwal moved to Chairman of VECV and Vice Chairman of EML