Eicher Motors Q1 profit jumps 21% to ₹1,463 crore on record Royal Enfield sales

Eicher Motors reported a 21.4% year-on-year increase in its consolidated net profit for the first quarter of FY27, driven by record motorcycle sales at Royal Enfield and a strong performance from its commercial vehicle joint venture, VE Commercial Vehicles (VECV).

The company posted a consolidated net profit of ₹1,463 crore for the quarter ended June 30, compared with ₹1,205 crore in the corresponding period last year. Revenue from operations rose 31.5% to a record ₹6,632 crore from ₹5,042 crore a year earlier, while EBITDA grew 32.2% to ₹1,591 crore. EBITDA margin improved marginally to 24% from 23.9% in the year-ago period.

Royal Enfield, VECV drive growth

Royal Enfield recorded its highest-ever quarterly motorcycle sales of 332,940 units during the quarter, up 27% from a year earlier, while VECV posted its best-ever first-quarter sales of 24,815 vehicles, an increase of 14.8%.

Commenting on the performance, B. Govindarajan, managing director of Eicher Motors and chief executive officer of Royal Enfield, said, "Building on a record-setting performance in FY26, we have sustained our strong momentum into the new financial year, with Royal Enfield recording its highest-ever quarterly sales and VECV recording its highest-ever Q1 sales."

He added that deliveries of the Flying Flea C6 electric motorcycle had commenced during the quarter and the early market response had been encouraging. "With a robust product launch calendar and diverse brand initiatives planned for the rest of the year, we are optimistic of maintaining our growth trajectory in the dynamic global environment," Govindarajan said.

Andhra Pradesh expansion approved

The board also approved an investment of ₹1,225 crore for Phase I of Eicher Motors' proposed greenfield manufacturing facility in Andhra Pradesh. At full utilisation, the new facility is expected to add production capacity of up to 4.5 lakh motorcycles annually and is targeted for completion during FY2030. The expansion will increase Royal Enfield's total installed manufacturing capacity across plants to around 24.5 lakh motorcycles per year.

VECV also delivered a strong operational performance during the quarter, with revenue rising 16.6% year-on-year to ₹6,610 crore and profit after tax increasing to ₹300 crore from ₹288 crore a year earlier.

Looking ahead, the company said it remains focused on expanding its product portfolio, strengthening its manufacturing footprint and capitalising on growing domestic and international demand for Royal Enfield motorcycles while continuing to modernise its commercial vehicle business

Shares of Eicher Motors ended 0.51% lower at ₹7,796 apiece on the NSE on Wednesday. The stock has gained more than 42% over the past year, outperforming the benchmark Nifty 50 index, which has declined 2.3% during the same period.