Mahindra & Mahindra expects SUV portfolio to drive strong growth in FY26

Mahindra & Mahindra, the country’s largest sports utility vehicle (SUV) manufacturer, anticipates mid- to high-teens growth of its SUV portfolio in FY26, the company’s management told media in a post-Q4 earnings briefing.

“We continue to stay positive given our product portfolio, and we will look at mid-to-high teens for SUVs in FY26, which includes electric vehicles,” said Rajesh Jejurikar, ED & CEO-Auto & Farm, Mahindra & Mahindra Ltd.

The company's SUV volume was up by 20% in the fiscal year 2024-25. In FY25, Mahindra clocked a revenue market share of 22.5%, up 210 basis points.

Anish Shah, Group CEO at Mahindra & Mahindra, said the company’s product portfolio generates a very high demand. “The products that we have are generating a very high demand. And many of them are particularly unique products, such as Thar, Scorpio N and our new electric vehicles (BEVs). It (demand) is to a large extent driven by the uniqueness, the quality of the product and the fact that the customers are getting high quality at a very reasonable price as well,” said Shah, adding that this is what is driving consumer demand instead of small versus larger cars.

In Q4FY25, the company reported a 20% year-on-year (YoY) increase in its profit after tax (PAT) at Rs 3,295 crore compared to Rs 2,754 crore in the corresponding period last year. The carmaker's revenue witnessed a 20% increase to Rs 42,599 crore in Q4 FY25 from Rs 35,452 crore in the year-ago period.

Notably, the company has not yet observed a slowdown in urban demand. “We haven’t seen that much of a slowdown in the urban market, though there is no doubt that the urban economy at the moment is much tighter,” said Jejurikar.

Mahindra, however, anticipates the situation to improve in the second half of the current financial year.

The manufacturer of Thar Roxx and Scorpio N will introduce a new vehicle platform on August 15. According to Jejurikar, the new platform will have a series of new products. The company will be creating a capacity of 1.2 lakh per annum in its Chakan plant in Maharashtra.

The company is also considering opening a new manufacturing facility, the details of which have remained undecided.

In November last year, the company introduced its born electric vehicles SUVs – BE.6 and XEV.9E– bookings of which started in March this year. The company has so far delivered 6,300 units of its electric SUVs.