India's TVS Motor misses quarterly profit view on higher costs (updated)

TVS Motor

13/05/2026 09:12

Adds details from post earnings call

By Urvi Dugar

May 13, BENGALURU - India's TVS Motor TVSM.NS said on Wednesday it forecast single-digit volume growth for the current fiscal year and would raise prices to offset rising shipping and commodity costs from Middle East tensions.

India's third-largest two-wheeler maker expects sales volumes to grow above the industry average in the single-digit percentage range for the current fiscal year, its chief executive K. N. Radhakrishnan said in a post-earnings call. Its sales volumes rose 24% in 2026.

TVS joins peers Bajaj Auto BAJA.NS and Hero MotoCorp HROM.NS, which are relying on a premium product mix, export expansion and cost controls to cushion higher shipping expenses, as well as higher commodity prices stemming from the closure of the Strait of Hormuz.

The Apache bike maker said near-term uncertainty stems largely from supply-side constraints rather than weak demand, with retail demand remaining robust across markets.

    TVS Motor's two-wheeler sales rose 27% year-on-year to about 1.35 million units in the March quarter, driven by strong domestic sales and a 23% increase in exports.

    Analysts have said last year's tax rate cuts, from 28% to 18%, are likely to sustain demand over the next two to three quarters.

TVS Motor slightly missed analysts' estimates for fourth-quarter profit as soaring raw material costs offset strong local demand for its scooters and motorbikes. Total expenses rose 35.2% during the quarter.

Its earnings before interest, taxes, depreciation and amortization (EBITDA) margin expanded by 60 basis points to 13.1%.

($1 = 95.7050 Indian rupees)

 (Reporting by Urvi Dugar in Bengaluru; Editing by Subhranshu Sahu, Ronojoy Mazumdar and Tasim Zahid)

 ((UrviManoj.Dugar@thomsonreuters.com; +91 9558725583;))