Tata Motors PV Posts Steady Growth in Q2 FY26, Revenue Rises to ₹13,529 Crore

Tata Motors Passenger Vehicles Limited (TMPVL) reported a stable financial and operational performance for the quarter ended 30 September 2025 (Q2 FY26), reflecting resilient demand and sustained product momentum despite a challenging macroeconomic environment.

Revenue Growth Supported by Strong Product Demand

TMPVL recorded revenues of ₹13,529 crore in Q2 FY26, marking an improvement over both the previous quarter (Q1 FY26) and the corresponding quarter last year. The growth in revenues from ₹11,701 crore in Q2 FY25 to ₹13,529 crore in Q2 FY26 highlights the company’s successful introduction of refreshed models and strong traction in both ICE and EV segments.

This uptick reflects stable domestic retail activity and the growing acceptance of Tata’s expanding EV lineup, which continues to command a strong share in the electric passenger vehicle category.

Profitability: EBITDA Strengthens Amid Cost Pressures

TMPVL posted an EBITDA of ₹788 crore for Q2 FY26, an increase from ₹722 crore in Q2 FY25, demonstrating improved operating performance. The EBITDA margin remained stable at 5.8%, supported by better mix, efficiencies in material consumption, and ongoing cost optimisation initiatives.

Despite stronger operating performance, profit before tax (PBT) moderated to ₹155 crore in Q2 FY26 compared with ₹231 crore in the same period last year. This was primarily due to elevated depreciation and finance costs, reflecting continued investments in new products, platforms and capacity expansion.

Half-Year Performance: Consistent Revenue Momentum

For the first half of FY26 (H1 FY26), TMPVL recorded revenues of ₹24,406 crore, up from ₹23,548 crore in H1 FY25. The consistency in revenue growth reinforces Tata Motors’ leadership in the Indian passenger vehicle market, driven by strong demand for SUVs, improved supply chain visibility, and sustained customer interest in the Tata.ev portfolio.

EBITDA for H1 FY26 stood at ₹1,227 crore, compared with ₹1,404 crore in the prior-year period. The EBITDA margin of 5.0% remained within the company’s expected range, even as it navigated increased input costs, pricing discipline, and heightened competitive intensity. PBT (profit before taxes) for the half-year was ₹32 crore compared with ₹402 crore in H1 FY25, impacted primarily by higher depreciation and finance costs owing to strategic capital deployment.

Product Lineup Expansion

Earlier this year, Tata Motors announced that it will launch 7 new nameplates and 23 model updates by FY2030, expanding its portfolio to over 15 models across EV, ICE, and CNG segments to target a wide range of customers. This year, the homegrown carmaker had two significant launches— the facelifted Altroz and the all-electric Harrier.ev. 

The company is now gearing up for its biggest launch of the year – the all-new Sierra — which is slated to break covers in final production form on November 25. This will be followed by the launch of petrol-powered versions of Harrier and Safari later next month.

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