Bajaj Auto Ltd, one of India’s most prominent two- and three-wheeler manufacturers, has kicked off FY2025 with a strong performance, beating analyst expectations on both revenue and profit fronts. For the quarter ended June 30, 2025 (Q1 FY2025), the company reported:
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Revenue from operations: ₹125.84 billion
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Profit after tax (PAT): ₹20.96 billion
These figures surpassed consensus estimates from I/B/E/S, which had projected revenue of ₹124.79 billion and PAT of ₹20.42 billion, signaling robust demand, operational efficiency, and strategic pricing.
Financial Highlights
Bajaj Auto’s Q1 results reflect a healthy year-on-year growth trajectory, driven by strong exports, premium segment performance, and continued momentum in the electric vehicle (EV) space.
Key Metrics:
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Revenue Growth: Up 6% YoY
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PAT Growth: Up 3% YoY
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EBITDA: ₹25.81 billion, up 6.2% YoY
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EBITDA Margin: 20.2%, a 10 bps improvement YoY
The company’s ability to maintain margins despite inflationary pressures and strategic investments highlights its disciplined cost management and pricing power.
Export Strength and EV Momentum
Exports continued to be a major growth engine, with two-wheeler and commercial vehicle (CV) shipments showing double-digit growth across Africa, Asia, and Latin America. Latin America posted another record quarter, while volumes in Nigeria rebounded to over 100,000 units.
Bajaj Auto’s electric vehicle portfolio also made significant strides:
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Electric 2-wheelers (e2Ws): Market share doubled YoY
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Electric 3-wheelers (e3Ws): Market share tripled YoY
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Chetak EV: Volumes surged 2.5x YoY, with exit market share at 25%
The company delivered nearly 100,000 EV units during the quarter, moving from a loss to a marginally positive EBITDA in the segment — a notable milestone in its green energy transition.
Premium Segment and Strategic Focus
In the competitive 125cc+ motorcycle category, Bajaj Auto achieved its highest-ever quarterly retail volumes, buoyed by festive demand and strong brand positioning. Triumph and KTM continued to perform well:
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Triumph: Highest-ever quarterly retail volumes, led by Speed 400
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KTM: Expanded portfolio with 10 high-performance models up to 1,390cc
The company’s conscious decision to avoid deep discounting helped preserve margins and brand equity, even as competitors engaged in aggressive pricing.
Cash Flow and Capital Discipline
Bajaj Auto generated approximately ₹3,000 crore in free cash flow during the first nine months of FY2025, reinforcing its strong balance sheet and liquidity position. This financial strength enables continued investment in strategic priorities, including EV infrastructure, global expansion, and premium product development.
Market Reaction and Outlook
Following the earnings release, Bajaj Auto’s stock saw a modest uptick, closing 0.3% higher at ₹8,411.25 on the NSE. Analysts remain optimistic about the company’s trajectory, citing:
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Strong export recovery
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EV leadership potential
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Premium segment dominance
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Consistent margin performance
Looking ahead, Bajaj Auto is expected to continue its focus on electrification, global market penetration, and premiumization — all while maintaining operational excellence.
Relevant Sources: The Economic Times, CNBC-TV18, Annual Report FY2023–24 – Bajaj Auto
