Ashok Leyland Q2 Results 2025: Revenue Climbs 9%, Net Profit Steady at ₹771 Crore; Re 1 Dividend Declared

Ashok Leyland, one of India’s leading commercial vehicle manufacturers, reported its Q2FY26 earnings with steady growth in revenue and consistent performance in net profits. The company continues to demonstrate resilience in a competitive market, driven by operational efficiency, product premiumization, and expanding volumes across segments.

Market Performance

In Q2FY26, Ashok Leyland posted a standalone net profit of ₹771.06 crore, reflecting a marginal growth of 0.13% YoY from ₹770.10 crore in the same period last year.

• The net profit was affected by a one-time loss of ₹40 crore, in contrast to a ₹117 crore gain recorded in the same period last year.
• Despite this, the company’s EBITDA rose 14.2% YoY to ₹1,162 crore, and EBITDA margins improved to 12% from 11.6%.

Revenue performance remained strong:

• Revenue from operations: ₹9,588.18 crore, up 9.3% YoY from ₹8,768.83 crore.
• Growth was supported by network expansion, cost optimization, digital enablement, and operational efficiency.

Ashok Leyland’s performance reflects stable demand across commercial vehicles, with positive momentum in both domestic and export markets.

Volumes and Segment Highlights

Volume growth remained a key driver for Ashok Leyland’s Q2 earnings:

• MHCV (Medium & Heavy Commercial Vehicles): 26,307 units, up 3% YoY from 25,542 units.
• LCV (Light Commercial Vehicles): 17,697 units, up 6% YoY from 16,629 units.
• Exports: 4,784 units, marking a 45% YoY increase.

The company maintains over 30% domestic MHCV market share and continues to lead in the bus segment. LCV market share in addressable segments has also improved, reflecting strong customer traction.

Additional business segments performed steadily:

• Defence, Power Solutions, and Aftermarket operations continue to contribute positively to overall performance.

This strong volume growth underscores Ashok Leyland’s steady market presence and its capability to leverage increasing demand in the commercial transportation segment.

Company Highlights and Strategy

Ashok Leyland has focused on premium products and operational efficiency to strengthen margins:

• EBITDA growth: Achieved eleventh consecutive quarter of double-digit EBITDA, showcasing disciplined cost management.
• Strategic initiatives: Product premiumization, network growth, digital enablement, and operational efficiency remain central to sustaining revenue and margin growth.

The company remains cash positive, providing stability for ongoing expansion and strategic initiatives.

Dividend Update

An interim dividend of Re 1 per equity share (face value Re 1) has been declared by the Board for the financial year 2025-26.

• Payment date: On or before December 11, 2025.
• Record date: November 18, 2025, to determine eligibility for dividend distribution.

This dividend reflects Ashok Leyland’s commitment to shareholder returns while maintaining a solid balance sheet.

Summary

Ashok Leyland’s Q2FY26 performance highlights steady profitability, rising revenues, and strong volume growth across domestic and export markets. With continued operational focus, product premiumization, and expanding market share, the company demonstrates a resilient and stable growth trajectory.

Key takeaways from Q2FY26:

• Net profit: ₹771.06 crore, marginal YoY growth.
• Revenue: ₹9,588.18 crore, up 9.3% YoY.
• EBITDA: ₹1,162 crore, margin 12%.
• Domestic MHCV share: Over 30%, bus segment leadership maintained.
• LCV volumes: 17,697 units, up 6% YoY.
• Exports: 4,784 units, up 45% YoY.
• Interim dividend: Re 1 per share, payable December 11, 2025.

Ashok Leyland continues to maintain a strong presence in India’s commercial vehicle industry, demonstrating stability and growth amid evolving market conditions.