Maruti Suzuki Q1 Result: Net profit rises 2%, firm says domestic PV continues to see sluggish demand

Maruti Suzuki’s total revenue from operations, including sale of products and other operating revenue, jumped over 8% year-on-year (YoY) to ₹38,414 crore in Q1 FY26 from ₹35,531 crore in the year-ago period.

Lower manufacturing and administrative expenses, lower advertisement expenses, and higher non-operating income helped during the quarter.

Operationally, Maruti Suzuki reported weak performance in the June quarter, as its operating profit, also known as earnings before interest, taxes, depreciation, and amortisation (EBITDA), declined 11.2% YoY to ₹3,997 crore from ₹4,502 crore in the corresponding period of the previous financial year.

Its operating profit margin, also known as EBITDA margin, contracted to 10.4% in the reporting quarter from 12.6% in the year-ago period.

The margin contracted on the back of adverse commodity prices, foreign exchange movement, and higher sales promotion expenses. New plant (Kharkhoda greenfield plant) related expenses also impacted the margin in the reporting quarter.

Maruti Suzuki said in Q1, the domestic passenger vehicle (PV) industry continued to witness a sluggish demand environment.

For the auto major, a decline in domestic sales of 4.5% was compensated by a robust 37.4% growth in exports, resulting in an overall sales volume increase of 1.1% for the quarter, YoY.

The firm sold a total of 527,861 vehicles during the quarter, comprising domestic sales of 430,889 units and exports of 96,972 units. In Q1 FY26, Maruti registered net sales of ₹36,625 crore as against ₹33,875 crore in the same quarter of the previous fiscal year.

Shares of Maruti Suzuki settled at ₹12,521 apiece on the National Stock Exchange, falling 0.77%.

The carmaker had reported a 6% decrease in total sales at 1.68 lakh units in June in contrast to 1.79 lakh units in the same period last year. The company said its domestic sales decreased 12% during the month to 1.3 lakh units as against 1.5 lakh units in June 2025.

Sales of mini-segment cars, including Alto and S-Presso, had also decreased 37% to 9,395 units as compared to 6,414 units in the year-ago month. The sales of the company's mid-sized sedan, Ciaz, nearly doubled to 1,028 units.