HMHero MotoCorp500182Earnings call transcript

Q2 FY27 call: H1 revenue up 28%, VIDA retail up 105%, EV capacity doubled

Transcript of the Q2 FY27 earnings call.

By ScoutQuest · Tue 3 Nov 2026, 1:41 PM IST · 3 min read

H1 FY27 Revenue Growth

H1 FY27: revenue +28% YoY

H1 FY27 PAT Growth

profit after tax +16% YoY

EV Capacity

EV capacity raised to 30,000 units/month from 15,000

What management reported

• H1 FY27 revenue grew 28% and profit after tax grew 16% year-on-year.
• Industry VAHAN retail grew by over 27% in Q2; ICE grew 23% and EV 82%.
• H1 industry retail growth was over 20% year-on-year. Over a two-year period this works out to an 11% CAGR, which management used to discount the effect of GST-related pent-up demand.
• Growth was described as broad based across urban and rural markets, with the company's rural performance equal to or better than urban.

Market share and product mix

• The company gained VAHAN market share in its ICE portfolio in each month of the quarter. ICE retails grew 24% year-on-year, ahead of the industry.
• Scooter share expanded for a fifth consecutive quarter. ICE scooter dispatches grew 34% in Q2 and over 50% in H1. Scooters now account for 3 percentage points more of the overall business mix than in the comparable quarters two years ago. In key South markets, ICE scooter share has crossed 10%.
• 100cc motorcycles grew 10% in Q2 and 11% in H1. Splendor grew over 20%, and its premium XTEC variant now contributes over 25% of Splendor volumes.
• VIDA electric retail grew 105% year-on-year, with a 170 basis point market share gain in H1 FY27. New VX2 Go 3.1 kilowatt and VX2 Plus 4.4 kilowatt variants were launched earlier this fiscal.

Capacity, inventory and investment

• EV capacity was raised to 30,000 units per month in September, from 15,000 units a month at the end of the last fiscal, already double. The plan is 45,000 units a month in Q4 and over 80,000 units a month by Q2 of the next financial year.
• Dealer stock stood at about 1 day, which management read as demand running ahead of supply, including in the festival period.
• Parts revenue grew 27% year-on-year, the second quarter in a row above 25%. The company is investing over INR700 crores in a new automated Global Parts Center 2.0 to double parts handling capacity for India and export markets.

Export business

• Dispatches and customs clearance were disrupted in one large Latin American market after an earthquake there.
• Bangladesh saw a demand slowdown after a sharp fuel price increase linked to the ongoing Gulf War.
• Both affected wholesale/dispatch growth, but export retails grew 19%. Management said it is confident of returning to dispatch growth in Q3.

Premium segment

• A separate premium business unit was carved out in Q2 with a new Chief Business Officer.
• Two refreshes, Xtreme 160R and Xtreme 250R, were launched in October.
• The premium franchise's retail grew over 30% in H1 FY27, with over 35% market share in the adventure bike segment.
• 3 to 4 key launches are planned in the premium segment in the remaining part of this financial year.

Guidance given on the call

• The industry as a whole is expected to deliver mid to high single-digit growth during the festival period; management said this is already visible in festival-to-date performance.
• Export dispatch or wholesale growth is expected to resume in Q3.
• EV capacity is targeted at 45,000 units a month in Q4 and over 80,000 units a month by Q2 of the next financial year.
• Continued investment in new products behind key brands and in capacity expansion.

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