Maruti Q2 FY26 profit up 7%, but rising advertising costs drag performance

Maruti Suzuki India on Friday announced its second-quarter results for FY26, reporting a marginal increase in net profit year-on-year.

According to the company’s filing, the maker of Swift, Brezza, and Jimny posted a net profit of Rs 3,293 crore in Q2 FY26--up 7.3% YoY, compared to Rs 3,069 crore in Q2 FY25.

Maruti’s sales rose 12.7% to Rs 40,135 crore during July–September FY26, from Rs 35,589 crore a year earlier. Operating profit surged 21.7% YoY to Rs 1,964 crore (from Rs 1,613 crore).

Standalone revenue from operations climbed to Rs 42,100 crore in Q2 FY26, up from Rs 37,202 crore in Q2 FY25.

The company noted that the Centre’s recent GST rejig impacted wholesales during the quarter. Domestic wholesales declined 5.1% YoY to 440,387 units, as customers deferred purchases anticipating a price drop post-GST revision.

Under the new structure, GST on small cars has been reduced to 18% from 28%, while GST on big cars remains at 40% but with the cess removed.

Moreover, Maruti Suzuki said its performance was hurt by volatile commodity prices, adverse foreign exchange movements, higher sales promotion spends—including limited-period price cuts on select models—and an increase in advertising costs during the quarter.

Despite softer domestic demand, exports surged 42.2% to 110,487 units — its highest-ever quarterly export performance.

In H1 FY26, Maruti Suzuki sold 1,078,735 units, comprising 871,276 domestic units and an all-time-high 207,459 exports. Total volumes grew 1.4% YoY, driven largely by a strong 39.9% rise in exports.

The company also posted its highest-ever half-yearly net sales of Rs 76,760 crore in H1 FY26, compared to Rs 69,464 crore in H1 FY25.

Net profit for the half-year stood at Rs 7,004 crore, up from Rs 6,719 crore in the same period last year.