Mahindra & Mahindra shares gain 3% after Q2 profit jumps 25% to Rs 4,588 crore, revenue grows 25%

Shares of Mahindra & Mahindra (M&M) gained nearly 3% on Friday, hitting an intraday high of Rs 3,212 on the NSE, after the company on Thursday reported a 25% year-on-year increase in Q2 net profit to Rs 4,588 crore. Revenue also grew 25% during the quarter.

According to a filing with the exchange, the net profit in the same period a year ago was Rs 3,673.32 crore. Revenue from operations grew 25.4% YoY to Rs 57,514.98 crore in Q2FY27, against Rs 45,885.40 crore reported in the year-ago period

Total expenses rose 25.9% YoY to Rs 51,845.48 crore during the quarter, compared with Rs 41,192.50 crore in Q2FY26.


Also Read | M&M Q2 Results: Profit rises 25% YoY to Rs 4,588 crore, revenue grows 25%

On a standalone basis, M&M reported a 12.15% YoY increase in net profit to Rs 5,102 crore in Q2FY27, compared with Rs 4,521 crore in the corresponding quarter of the previous fiscal. Revenue rose 27.1% YoY to Rs 42,477 crore during the quarter, against Rs 33,422 crore reported in Q2FY26.

EBITDA increased 2.1% YoY to Rs 4,912 crore in Q2FY27, compared with Rs 4,810 crore in the year-ago quarter. EBITDA margin contracted by 280 basis points to 11.6% from 14.4% in Q2FY26.

The company reported strong operating performance across its businesses in Q2 F27, with consolidated PAT of Rs 4,588 crore, up 25% and each business continued its growth journey, supported by proactive measures to address macro volatility.

Segment wise performance

The company said that its automotive business continued to be the key growth driver, with quarterly volumes, including sales by LMM and MEAL, rising 26% year-on-year to 3.31 lakh units. Utility vehicle (UV) volumes stood at 1.83 lakh units. The SUV revenue market share stood at 24.3% in Q2FY27.

The farm equipment business reported volumes of 1.16 lakh units, with its market share at 41.5% during the quarter. The standalone PBIT was at Rs 1,441 crore, PBIT margin at 16.8%, down 300 basis points (bps).

In the services business, Mahindra Finance reported 15% growth in assets under management (AUM), while its PAT increased 61%. Tech Mahindra reported an EBIT margin of 14.8%, with PAT rising 33%.

“Our Q2 F27 Consolidated PAT growth of 25% reflects the resilience of our group and underlines the disciplined execution across businesses. Auto continued to grow on the back of strong consumer demand, while Farm experienced a marginal decline on account of the festive season shift,” said Anish Shah, Group CEO & Managing Director, M&M

“Mahindra Finance maintained its growth trajectory, TechM displayed acceleration in its transformation journey, and our Growth Gems continued their momentum. Despite the uneven macroeconomic environment, the group remains focused on laying the foundation for consistent profitable growth,” Shah further added.

Mahindra Logistics reported revenue of Rs 2,095 crore, marking a 24% YoY increase, while its PAT turned positive and grew threefold.

Mahindra Lifespace Developers recorded residential pre-sales of Rs 1,100 crore, up 41%, and added gross development value (GDV) of Rs 1,500 crore. Mahindra Holidays reported 5,762 room keys and an occupancy rate of 76%, up 220 basis points.

“Auto Business delivered strong performance while Farm business continues to demonstrate strong resilience in Q2F27. SUV volume grew 26% YoY and retained market leadership in revenue market share. EV product range continue to show momentum with maintaining #1 position in revenue market share for the 1st half of the year. Auto consolidated PBIT margin grew to 8.8%, 110 bps up QoQ and Farm consolidated PBIT margin grew 20 bps QoQ despite significant hike in commodity prices,” said Rajesh Jejurikar, Executive Director & CEO (Auto and Farm Sector), M&M.

Also Read | M&M Q2 net profit up 25% driven by strong automotive sales

“Q2 F27 reflects the strength of our diversified portfolio. Our businesses are demonstrating strong operational stewardship and resilience despite significant commodity and geopolitical headwinds. The robust balance sheet and cash generation also provides us the flexibility to invest in future opportunities and deliver sustainable value,” said Amarjyoti Barua, Group Chief Financial Officer, M&M.

Management change

Separately, M&M announced a senior management change, with Shuchi Suri, Executive Vice-President, Mahindra Experiences, set to transition to the role of Chief Sales and Marketing Officer of the automotive business with effect from April 1, 2027.

The company said Suri would cease to be a senior management personnel following the transition. The disclosure was made pursuant to Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations.

M&M share price

In the last one month, the stock went up 12.19%. In the current calendar year so far and in the last one year, the stock was down 14.83% and 11.48% respectively. In the last three years and five years, the stock went up 115.22% and 266.97% respectively.

Disclosure: This article has been written by Surbhi Khanna, who is not a SEBI-registered Research Analyst or an investment advisor. Surbhi Khanna does not hold any financial interest in Economic Times as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of the EconomicTimes Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment.