Hero MotoCorp reported a 12% jump in its standalone net profit for the third quarter of FY26 to Rs 1,349 crore, compared with Rs 1,203 crore in the year-ago period, though it missed the Bloomberg estimate of Rs 1,387 crore.
Revenue from operations stood at Rs 12,328 crore, up 21% from Rs 10,210 crore in the corresponding quarter last year. The revenue figure exceeded the Bloomberg estimate of Rs 12,184 crore.
The rise in revenue was driven by robust sales. The company sold over 1.69 million motorcycles and scooters in Q3FY26, compared with over 1.46 million units in Q3FY25, translating into a 16% year-on-year growth.
Rural Revival & GST 2.0
The company said its positive growth performance was led by healthy double-digit volume growth and strong retail momentum.
“Steady focus on operational excellence, product mix optimisation, consumer-centricity and innovation remained our core pillars, enabling consistent financial performance during the quarter. Conducive macro-economic factors and favourable GST 2.0 tailwinds helped in the revival of rural demand, which further drove consumer traction for motorcycles and growth for the economy,” Chief Financial Officer Vivek Anand said.
The company declared an interim dividend of Rs 110 per equity share for FY26 and fixed February 11 as the record date to determine shareholder eligibility. The dividend will be paid by March 7, 2026, the company said in a filing.
Scaling the EV Ecosystem
The board also approved an additional investment of Rs 275 crore, in one or more tranches, through a combination of primary infusion and secondary purchase in Euler Motors.
Ebitda for the third quarter of FY26 rose 19% to Rs 1,896 crore from Rs 1,591.64 crore in the same quarter last year. Ebitda margin for the quarter stood at 14%.
The company made an additional provision of Rs 119 crore due to the implementation of the new labour codes, reported as an exceptional item.