Tata Motors Ltd.’s commercial vehicles business reported a strong March quarter performance, with consolidated profit after tax rising 35% year-on-year to ₹1,800 crore in Q4 FY26, aided by higher volumes, improved realisations and operating leverage. Consolidated revenue from operations grew 19% to ₹26,098 crore during the quarter, reflecting sustained momentum across domestic and export markets.

The company’s consolidated EBITDA margin expanded 150 basis points year-on-year to 13.1% during the quarter, while EBIT margin improved 230 basis points to 11.5%. Profit before tax and exceptional items rose 29% to ₹2,400 crore. Tata Motors also remained net cash positive at ₹13,700 crore as of March 31, 2026.

The board recommended a final dividend of ₹4 per equity share for FY26, subject to shareholder approval.

Standalone business hits record profitability

Tata Motors’ standalone commercial vehicles business posted its highest-ever quarterly earnings in FY26. Profit before tax and exceptional items surged 58% year-on-year to ₹2,972 crore in Q4, while profit after tax jumped 70% to ₹2,406 crore. Revenue rose 22% to ₹24,452 crore.

EBITDA climbed 35% to ₹3,400 crore, with margin expanding 130 basis points to 13.9%, exceeding the company’s medium-term guidance. EBIT margin improved to 12.1%, supported by better product mix, pricing discipline and cost efficiencies, though partly offset by higher commodity costs. Finance costs declined sharply to ₹166 crore from ₹319 crore a year ago, further boosting profitability.

Commenting on the performance, Managing Director and CEO Girish Wagh said FY26 marked a “clear inflection point” for the commercial vehicle industry as volumes crossed pre-FY19 peaks, aided by GST 2.0 reforms and sustained infrastructure spending. He added that the company strengthened its market leadership through a refreshed product portfolio and customer-centric offerings.

It may be recalled that company increased prices of its commercial vehicle (CV) range by up to 1.5% starting April 1, citing sustained pressure from rising commodity prices and higher input costs.

Exports surge, market share leadership intact

Commercial vehicle wholesales rose 25% year-on-year to 132,000 units in Q4 FY26, while full-year wholesales increased 14% to 428,000 units. Domestic volumes grew 12% during FY26, while exports surged 54%. Tata Motors retained overall domestic CV market share leadership at 35.7%, including 55% share in heavy commercial vehicles.

Tata Motors maintained that it retained leadership in the domestic CV market with FY26 VAHAN market share of 35.7%, including 55% share in heavy commercial vehicles and 39.5% in ILMCV.

During FY26, the company launched 17 next-generation trucks and secured its largest overseas order of 70,000 vehicles from Indonesia. Tata Motors also said regulatory approvals for the proposed Iveco acquisition are progressing, with closure expected by Q2 FY27