Ashok Leyland Reports ₹771 Crore Q2 FY26 Net Profit with Marginal Growth

Hinduja Group-backed Ashok Leyland, a key commercial vehicle manufacturer, on Wednesday announced a standalone net profit of ₹771.06 crore for the second quarter (Q2) of FY26, recording a marginal growth of 0.13 per cent from ₹770.10 crore in the corresponding period of the previous fiscal year. The net profit was affected by a one-time loss of ₹40 crore as against a gain of ₹117 crore in the year-ago period.

Ashok Leyland's revenue from operations in Q2FY26 climbed 9.3 per cent to ₹9,588.18 crore from ₹8,768.83 crore year-on-year (YoY).

EBITDA Climbs 14.2%

At the operational level, earnings before interest, tax, depreciation and amortisation (EBITDA) during the September quarter increased 14.2 per cent to ₹1,162 crore from ₹1,017 crore, while EBITDA margin improved to 12 per cent from 11.6 per cent, YoY, driven by product premiumisation, network growth, operational efficiency, cost optimisation and digital enablement.

MHCV and LCV Register Growth

Both MHCV and LCV industry witnessed positive growth in Q2. Ashok Leyland's volume in Q2 saw a jump of 3 per cent in MHCV from 25,542 to 26,307 units, and 6 per cent in the LCV segment, from 16,629 to 17,697 units, on YoY basis.

Ashok Leyland's Domestic MHCV market share continues to be over 30 per cent. The Company maintained its market leadership in the Bus segment. The LCV domestic market share in the addressable segments has also improved, Ashok Leyland said in a release.

Export Volumes Surge 45 per cent YoY

The export volumes for the quarter were at 4,784 units, growing by 45 per cent on YoY basis. The Defence, Power Solutions and Aftermarket Businesses continue to perform well and are expected to post good growth in the current fiscal, it added.

"We continue to see stable demand in all segments of trucks and buses. The industry has posted growth, albeit modest, and we are anticipating to witness better growth in the second half. Ashok Leyland has achieved its eleventh consecutive quarter of double-digit EBITDA," Shenu Agarwal, Managing Director & CEO, Ashok Leyland, said in a statement.

"We believe we are well positioned to achieve our mid-teen EBITDA goal in the medium term. We remain cash positive," Agarwal added.

Board Declares Re 1 Dividend Per Share

The Board of Directors of Ashok Leyland have declared an Interim Dividend of Re 1 per equity share of face value of Re 1 each, for the financial year ending 2025-26. The said interim dividend would be paid on or before December 11, 2025.