TVS Motor Company Q3 FY26: GST cut fuels operating revenue to Rs 12,476 crore, profit jumps 46% to Rs 891 crore

TVS Motor Company reported its highest-ever quarterly sales in the third quarter of FY26, driven by a sharp recovery in demand following the Centre’s decision to cut GST on two-wheelers below 350 cc from 28% to 18%.

The automaker said overall two-wheeler and three-wheeler sales, including international operations, grew 27% year-on-year to 15.44 lakh units in the quarter ended December 2025, compared with 12.12 lakh units in the same period last year.

Motorcycle sales rose 31% to 7.26 lakh units during the quarter, up from 5.56 lakh units a year earlier. Scooter sales grew 25% to 6.14 lakh units, compared with 4.93 lakh units in Q3 FY25. International two-wheeler sales increased 35% year-on-year to 3.66 lakh units from 2.72 lakh units in the year-ago quarter.

Three-wheeler sales more than doubled, rising 106% year-on-year to 0.60 lakh units in Q3 FY26, compared with 0.29 lakh units in the corresponding period last fiscal.

The company’s electric vehicle (EV) business also posted strong growth, with sales rising 40% year-on-year to a record 1.06 lakh units during the quarter, up from 0.76 lakh units in Q3 FY25.

On the financial front, TVS Motor’s operating revenue grew 37% year-on-year to Rs 12,476 crore in Q3 FY26, compared with Rs 9,097 crore in the same quarter last year. Profit after tax surged 46.2% to Rs 891.26 crore during the quarter, from Rs 609.35 crore in Q3 FY25.

Employee benefit expenses rose sharply following the implementation of four labour codes in November. The company reported a 24.3% year-on-year increase in employee costs to Rs 1,102.86 crore in Q3 FY26, compared with Rs 886.95 crore in the year-ago period.