Bosch India Q1 results: Profit falls 37% despite 28% EBITDA growth; here's why

Bosch India on Monday reported a 36.7% year-on-year decline in consolidated net profit to ₹706.1 crore for the quarter ended June 2026, even as revenue and operating profitability improved during the period. The sharp decline in reported profit was primarily due to the absence of a large exceptional gain recorded in the year-ago quarter.

Consolidated revenue from operations rose 22% to ₹5,841.9 crore from ₹4,788.6 crore in Q1 FY26, while EBITDA, calculated from the consolidated financials, increased 28.4% to ₹821.1 crore from ₹639.3 crore. EBITDA margin consequently improved to 14.1% from 13.4%.

Exceptional gain drives profit comparison

The key reason behind the decline in reported profit is the ₹556-crore exceptional gain recognised in Q1 FY26 from the sale of Bosch's Video Solutions, Access and Intrusions and Communication Systems business to Keenfinity India.

There was no exceptional item in Q1 FY27. As a result, profit before tax stood at ₹941.8 crore in the latest quarter, compared with ₹1,393.8 crore a year ago.

Excluding the exceptional item, Bosch's profit before exceptional items and tax increased 12.4% to ₹941.8 crore from ₹837.8 crore in Q1 FY26.

Other income also declined to ₹225.7 crore from ₹288 crore, while depreciation and amortisation increased to ₹98.9 crore from ₹85 crore. These factors moderated the benefit of stronger operating performance.

Automotive demand drives revenue growth

Bosch said the revenue growth was driven by higher demand in the passenger car and off-highway segments. Automotive products revenue increased to ₹5,234.4 crore from ₹4,246.3 crore, while segment results rose to ₹745.9 crore from ₹615.9 crore.

Overall automotive product sales increased 25.7% year-on-year, while the Power Solutions business grew 29%. The two-wheeler business expanded 41.4%, supported by value-added EMS products, higher sales to premium motorcycle platforms and steady demand from major domestic OEMs.

“Our business performance in the first quarter is driven by sustained demand across segments, particularly in passenger cars and commercial vehicles along with increased sales in key product categories,” Bosch India managing director Guruprasad Mudlapur said.

Focus on future-ready mobility

Bosch also highlighted its recent acquisition of Bosch Chassis Systems India, which became a wholly owned subsidiary on July 1, 2026, and its joint venture with the TSF Group for advanced commercial vehicle air systems.

Mudlapur said the partnerships reflect Bosch's approach to prepare for the “next generation of safer, cleaner, software-driven, and future-ready mobility.”

Shares of Bosch India ended Monday 1.29% higher at ₹43,505 apiece on the NSE. The stock has risen 14% over the past year, outperforming the benchmark Nifty 50 index, which has remained largely flat during the period.