TVS Motor Company delivered its strongest quarterly performance in Q3 FY26, supported by a sharp recovery in demand after the Centre reduced GST on two-wheelers below 350cc from 28% to 18%. The tax reform significantly boosted volumes across segments, helping the company post its highest-ever quarterly sales.
Overall two-wheeler and three-wheeler sales, including international operations, rose 27% year-on-year to 15.44 lakh units in the quarter ended December 2025, compared to 12.12 lakh units in the same period last year. Motorcycle sales grew 31% to 7.26 lakh units, while scooter sales increased 25% to 6.14 lakh units, highlighting broad-based domestic demand recovery.
International business also recorded strong momentum, with two-wheeler sales rising 35% year-on-year to 3.66 lakh units. The company’s three-wheeler segment more than doubled, growing 106% to 0.60 lakh units during the quarter.
TVS Motor’s electric vehicle business continued its upward trajectory, registering a 40% year-on-year rise in sales to a record 1.06 lakh units, reflecting growing acceptance of EVs across urban and semi-urban markets.
On the financial front, operating revenue climbed 37% year-on-year to ₹12,476 crore in Q3 FY26, up from ₹9,097 crore in the corresponding quarter last year. Profit after tax surged 46.2% to ₹891.26 crore, compared with ₹609.35 crore in Q3 FY25, driven by higher volumes and improved operating leverage.
However, employee benefit expenses rose following the implementation of four labor codes in November, with costs increasing 24.3% year-on-year to ₹1,102.86 crore.
Overall, the quarter reflected strong demand momentum, operational efficiency, and a sustained growth trajectory for TVS Motor Company.
