Hyundai Motor India Ltd is wanting ahead to a gradual development path, as income rose for the second straight quarter on the again of upper rural gross sales, rising exports and rising gross sales of high-margin sports activities utility automobiles (SUV). The corporate expects the expansion momentum to proceed within the March quarter, with its upgraded Venue SUV already securing greater than 80,000 bookings.
The Indian arm of the Korean carmaker recorded its highest-ever share of gross sales from rural areas at 24%, with cuts to items and providers tax (GST) powering gross sales through the quarter. Exports have been up 21% to 48,888, with one in 4 Hyundai automobiles shipped overseas. Together with a rise within the share of SUVs in its gross sales, Hyundai noticed income rise 6% from a yr in the past to ₹1,234 crore, whereas income rose 8% to ₹18,217 crore.
In line with managing director and chief government Tarun Garg, the implementation of GST reforms introduced higher readability and stability to the oblique tax framework. “This, coupled with rate of interest cuts, considerably improved buyer shopping for sentiments and introduced in a renewed wave of optimism,” Garg mentioned at a post-earnings press convention.
“Importantly, structural shifts in client preferences continued to additional strengthen with growing adoption of SUVs, rising acceptance of recent applied sciences and a transparent desire for increased worth and feature-rich merchandise,” Garg mentioned on the name, his first since taking on as the primary Indian MD and CEO of the corporate on 1 January.
Hyundai India noticed 4 straight year-on-year quarterly losses between Q2 FY25 and Q1 FY26, earlier than coming into the revenue path within the September quarter.
Peer efficiency
Hyundai is the second carmaker to announce earnings, after India’s largest carmaker Maruti Suzuki India Ltd. Maruti Suzuki recorded a 4% year-on-year rise in revenue after tax to ₹3,879 crore, hit by a one-time provision of ₹593 crore owing to the brand new labour code. Income through the quarter surged 28% to ₹50,959 crore on the again of the highest-ever quarterly gross sales of 667,769 items.
Hyundai, which misplaced its No.2 carmaker tag by gross sales in 2025 to Mahindra and Mahindra, is bullish on development on the again of coverage and market developments. Shares rose 1.54% in opposition to a 2.13% achieve in Nifty Auto on Monday, when it introduced the outcomes through the market hours.
“By leveraging alternatives from the brand new Venue and exploring new markets, we’re assured of sustaining development momentum in This fall and past,” Garg mentioned.
For Hyundai, which is going through intense competitors from Mahindra and Tata Motors, a big share of incremental gross sales development is coming from exports. Gross sales to worldwide markets grew 21% to 48,888 in opposition to only a 0.4% development to 146,548 items within the home market through the October to December quarter.
In India, Hyundai noticed its gasoline and product combine largely remaining steady through the quarter as in comparison with final yr. The share of SUVs was at 70% in home gross sales, up one share level from a yr in the past. Inner combustion automobiles made up 83% of gross sales, down from 85%. Share of EVs stood at 1%, with the corporate having solely two electrical automobiles fashions Creta Electrical and Ioniq 5.
With proposed emission norms coming in from April 2027 subsequent yr, the corporate notes that it’ll steadily improve the penetration of fresh gasoline automobiles in its portfolio.
“If you happen to see a CNG combine, the CNG combine in our vary has been constantly going up. In quarter three, we had 16% CNG penetration, which was the best ever quarterly CNG combine. Correspondingly, you understand, we have been hovering round 14-15% final yr. Now we’re at 16%. And actually, it’s constantly going up,” Garg mentioned.
The highest government added that the corporate’s plans are in place to introduce new electrical automobiles and different clear gasoline automobiles which is able to put it in place to fulfill future emission norms.
Different development drivers for the corporate would come with its rising rural penetration, together with entry into the taxi section, the place it is going to be making a brand new fleet of automobiles focused for business operations.
Hyundai is aligning its development with the business’s projection of 5-6% volumes development within the subsequent monetary yr. “We’re additionally sticking with that business development. So, I feel our mannequin combine is nicely positioned to seize all of the alternatives that are arising due to the GST minimize,” Garg mentioned.
“One other factor which we talked about was the taxi, which has obtained some nice responses. After all, it is just one month, however the preliminary response is excellent. I feel that may even assist us to get extra volumes going.”