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Eicher Motors revs up with 21 per cent profit growth in Q3
Revenue rises 23 per cent as Royal Enfield capacity set to hit 20 lakh units
NEW DELHI: Eicher Motors reported a sharp rise in third-quarter earnings, driven by strong demand for Royal Enfield motorcycles, and announced a major capacity expansion to support future growth.
The company posted a consolidated net profit of Rs 1,421 crore for the October–December quarter, up 21 per cent from Rs 1,170 crore a year earlier. Revenue from operations climbed 23 per cent to Rs 6,114 crore from Rs 4,973 crore in the same period last year.
Operating performance strengthened further, with Ebitda rising 30 per cent year on year to Rs 1,557 crore. Ebitda margins expanded by 130 basis points to 25.46 per cent, reflecting operating leverage and favourable product mix.
The board approved a capacity expansion for Royal Enfield, lifting total annual capacity across plants from 14.6 lakh units to 20 lakh units. The ramp-up will be executed in phases beginning FY27 and is expected to be completed by FY28.
The expansion will involve a capital outlay of Rs 958 crore for brownfield development at the Cheyyar plant in Tamil Nadu.
During the quarter, the company provided Rs 55.45 crore as an exceptional, non-recurring charge towards the implementation of new labour codes, which came into effect on 21 November, 2025, Eicher Motors said in a regulatory filing.
Shares of Eicher Motors ended 1.32 per cent higher at Rs 7,290 ahead of the earnings announcement.
