Maruti Suzuki India, the country’s largest automaker, is on track to deliver its strongest yearly performance in nearly a decade, as demand for the domestic passenger-vehicle major remains firm on Dalal Street with an improved outlook amid a recovery in domestic consumption.
So far this year, the shares have risen 46.21% to ₹15,903 apiece, and if the momentum is sustained through the year-end, it will mark their biggest annual gain since 2017, when they surged 83%.
This rally has also pushed the company’s market capitalisation past ₹5 lakh crore, placing it in an elite group of just 12 companies to have achieved this milestone.
Although the stock began the year on a volatile note, it stabilised in March and gained strong traction from August as expectations strengthened that the government’s indirect tax cuts, along with anticipated RBI repo rate reductions and other policy measures to boost domestic demand, would revive small-car sales, a trend that also began reflecting in the October numbers.
Brokerages have also raised their target prices for the stock, expecting a sharp rebound in domestic sales, supported by GST rate cuts.
This was evident during the festive period (22 Sept–31 Oct 2025), when the company recorded sales of 400,000 units, up from 211,000 units a year earlier. Of this, small cars contributed about 250,000 units, marking 100% YoY growth.
Reports in-line performance in Q2
For the September quarter, the company reported an in-line performance, with net profit coming in at ₹3,349 crore, higher than ₹3,102 crore recorded in the same period last year.
Revenue from operations rose 13% YoY to ₹42,344 crore, driven by higher average realizations reflecting a richer product mix favouring SUVs, along with improved export performance.
Volumes, however, remained muted at 551,000 units. Domestic sales declined 5.1% as customers postponed purchases in anticipation of GST-related price cuts, while exports surged 42.2% to an all-time quarterly high of 110,000 units. EBITDA margin stood at 10.5%, marking a 140 bps YoY decline.
Growth trajectory intact
For 2HFY26 and beyond, management expects the overall PV industry to grow about 6% YoY, while the small-car segment is projected to expand around 10% YoY on a low base. The company also expects to exceed its FY26 export guidance of 400,000 units, having already shipped more than 200,000 units in 1HFY26.
Management reiterated that achieving a 50% PV market share remains its long-term goal. The company has lined up eight new SUV launches until 2031 (excluding Victorious), which are expected to support progress toward this target.
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