Bajaj Mobility begins post-takeover overhaul with 500 KTM job cuts; here's what Austria-based firm said

Austria-based Bajaj Mobility AG on Wednesday announced a “global rightsizing” programme that will entail a reduction of around 500 employees at KTM AG, as the motorcycle maker looks to cut costs and streamline operations.

Bajaj Mobility AG, formerly Pierer Mobility AG, is the holding company of the KTM Group, one of Europe’s leading motorcycle manufacturers.

The company owns premium motorcycle brands KTM, Husqvarna and GASGAS, and is one of Europe’s leading motorcycle manufacturers.

“Following the successful completion of the restructuring process in 2025, KTM AG is initiating a global rightsizing programme,” the company said in a filing shared by Bajaj Auto with stock exchanges.

“As part of this necessary realignment, a reduction in personnel of around 500 employees, mainly in white-collar areas and middle management, is unavoidable,” it added.

KTM AG had a total workforce of 3,794 employees as of December 31, 2025.

The announcement comes after Bajaj Auto completed a series of transactions last year that gave it control of the Austrian motorcycle maker.

In May last year, the Pune-based company said it would acquire a majority stake in KTM through its wholly-owned subsidiary Bajaj Auto International Holdings BV (BAIH).

On October 24, Bajaj Auto said the Austrian Takeover Commission had approved BAIH’s acquisition of Pierer Mobility AG, ruling that the subsidiary was not required to make a mandatory takeover bid to the remaining shareholders.

In November, Bajaj Auto completed the acquisition of a sole controlling stake in Pierer Bajaj AG (PBAG), securing control over KTM AG and Pierer Mobility AG.

The transaction, finalised on November 18, 2025, saw BAIH acquire all 50,100 shares of PBAG from Pierer Industrie AG, giving it 100 per cent ownership of PBAG.

PBAG, Pierer Mobility and KTM subsequently became step-down subsidiaries of Bajaj Auto, effective November 18, 2025.

Bajaj Mobility AG expects 2025 revenue to fall by nearly half as the owner of KTM motorcycles continues a deep restructuring and scaling back its product portfolio.

The company said consolidated revenue for the 2025 financial year is estimated at just over 1 billion euros, down about 46% from the previous year.

Motorcycle sales fell 28% year-on-year to 209,704 units, although the group reported a stronger performance in the second half of the year, when sales rose 60% from the first half. Of those, nearly 44,000 motorcycles were sold in the second half through strategic partner Bajaj Auto, the company said.

Bajaj Mobility said it also made progress in cutting excess stock, reducing motorcycle inventory to about 147,000 units by the end of 2025 from nearly 249,000 a year earlier.