Auto capacity to reach 39,000 units per month by Q4 FY24
Management confirmed that production capacity will increase to 39,000 units per month by the end of Q4 FY24, with current production already at that level.
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EPS growth target of 15-20%
Management reiterated a long-term EPS growth target of 15-20%, despite a strong 60% growth in Q1.
ROE threshold of 18%
Management committed to maintaining an ROE of at least 18%, with current ROE at 24%.
Farm machinery growth target of 40% for FY24
Management expressed confidence in achieving at least 40% growth in farm machinery revenue for the full year.
Mid-to-high teens SUV volume growth for FY25
Management reiterated expectation of mid-to-high teens growth in SUV volumes for FY25, supported by new launches and capacity.
Tractor industry growth around 5% with upside potential
Management maintained ~5% tractor industry growth outlook but noted favorable factors (monsoons, government spending) could push higher.
Logistics express business breakeven by end of Q2 FY25
Management committed to turning around the express logistics business to breakeven by the end of the current quarter.
Effective tax rate ~23-24% for FY25
CFO guided effective tax rate for FY25 to be approximately 23-24%.
SUV volume growth guidance of mid-to-high teens for FY26
Management reaffirmed SUV volume growth guidance of mid-to-high teens for FY26, supported by new EV launches and refreshes.
EV ramp-up to 5,000-6,000 units per month by festive season
EV production is expected to ramp up from current 4,000 to 5,000-6,000 per month during the festive season, with further ramp-up after January 2026.
Tech Mahindra EBIT margin target of 15% by F27
Tech Mahindra's EBIT margin recovery is on track at 11.1% this quarter, with a target of 15% by F27.
New platform reveal on August 15 and Investor Day in November
A new platform will be revealed on August 15, with more details shared at the Investor Day in November.
Auto production capacity to reach 49,000/month by March 2024
Production is currently at 42,000/month and on track to hit 49,000 by end of fiscal year.
Farm machinery revenue growth target of ~40% for FY24
Management expects farm machinery revenue to grow about 40% for the full year, up from 35% in H1.
Mahindra Finance credit cost target of 1.5%-1.7% for FY24
Credit cost expected to decline from 2.3% in H1 to 1.5%-1.7% by year-end, driven by structural asset quality improvement.
Susten capacity target of 7 GW in 4 years
Susten plans to grow from 1.5 GW to 7 GW in 4 years, with 1 GW of bids already won in H1.
Auto volume growth of mid-to-high teens
Management expects full-year SUV portfolio volume growth of 15%-18%.
Tractor industry growth of 6-7% for FY25
Revised tractor industry growth outlook to 6%-7% for the full year, implying 13%-15% H2 growth.
EV launches in early 2025
Two electric origin SUVs (BE 6e and XEV 9e) to be revealed in November 2024 and in market early 2025.
Auto PBIT margin medium-term goal of ~10%
Management targets auto PBIT margin to first reach FY19 levels of around 10% as a medium-term goal.
Tractor industry growth raised to 10-12% for FY26
Management upgraded tractor industry growth outlook from 5-7% to low double digits (10-12%) for FY26, citing GST cuts and strong rural fundamentals.
SUV industry growth maintained at mid-to-high teens
Management reiterated SUV industry growth guidance of mid-to-high teens for FY26, unchanged from the start of the year.
PLI incentives expected to continue till FY28
PLI scheme for EVs is expected to last till fiscal 2028, with sufficient funds remaining to support claims.
No further rights issues planned in near future
Management stated there are no rights issues planned in the near future for any listed or unlisted subsidiaries.
SUV volume growth mid-to-high teens in FY25
M&M expects to grow faster than the UV industry (SIAM forecast 10-12%), targeting mid-to-high teens growth.
Auto capacity to reach 49,000/month by Q4 FY24
Capacity expansion on track to 49,000 units per month by end of current quarter, though near-term volumes may be impacted by XUV300 ramp-down.
Tractor industry Q4 FY24 decline of 10%
Management guided for tractor industry to decline 10% in Q4 FY24, with full-year decline around 5%.
Farm machinery breakeven in 1.5-2 years
Farm machinery business expected to break even in about 1.5 to 2 years with current growth plans.
Q4 Tractor Industry Growth >15%
Management expects the tractor industry to grow over 15% in Q4 FY25, driven by good reservoir levels, Rabi sowing, and favorable terms of trade.
Full Year Tractor Industry Growth ~7%
Based on Q4 growth, the full year tractor industry growth is expected to be over 7%.
EV Monthly Volume Target 5,000 Units
Management targets an initial monthly volume of about 5,000 units combined for the BE 6e and XEV 9e.
Farm International Operations Review in Q4
The evaluation of international farm operations will be completed in Q4, with potential actions to be disclosed.
EV volume target of 80,000+ units in FY27
Management expects to sell over 80,000 EVs in FY27, driven by the three current models and a new model (BO7) launching in calendar 2027.
Capacity addition of 5,000-6,000 ICE units by July-August 2026
Debottlenecking will add 5,000-6,000 units per month for ICE products like XUV 3XO, Bolero, Scorpio-N, and Thar.
Nagpur greenfield tractor capacity of 100,000 units
A new greenfield plant in Nagpur will add 100,000 units of Mahindra-branded tractor capacity, with additional capacity for Swaraj under evaluation.
Last-mile mobility IPO in FY27
Management plans to list the last-mile mobility business via an IPO in FY27 to unlock value.
Auto volume growth mid-to-high teens in FY25
Management expects auto volume growth in the mid-to-high teens for FY25, driven by new launches like XUV 3XO and Thar 5-door.
Farm sector growth of ~5% in FY25
Farm sector expected to grow around 5% in FY25, with potential upside from favorable monsoons and farmer terms of trade.
Auto capex of INR 27,000 crore over three years
Includes INR 12,000 crore for EVs, INR 8,500 crore for SUV ICE, INR 4,000 crore for CVs, and INR 1,500 crore for Susten.
Farm capex of INR 5,000 crore over three years
Includes INR 2,800 crore for product development, INR 700 crore for capacity, and INR 600 crore for TREM V readiness.
SUV growth to outpace industry in FY26
Management expects M&M SUV volumes to grow faster than the industry in FY26, driven by full-year contributions from Thar ROXX and 3XO, and incremental EV volumes from a new customer base.
Tractor industry growth in high single digits for FY26
Management guided for tractor industry growth in high single digits for FY26, with M&M focusing on execution rather than market share targets.
BEV delivery ramp-up to be gradual, focusing on customer experience
M&M plans to slow BEV deliveries in April-May to improve customer experience, with average waiting time of ~4 months. Production capacity is at 5,000/month initially.
PLI certification expected by Q2 FY26, cumulative accrual then
Management expects technical certification for PLI on XEV 9e by Q2 FY26, at which point cumulative PLI for all sold vehicles will be accrued.
SUV volume growth of mid-to-high teens in FY27
Management expects SUV volume growth of 15%-18% in FY27, driven by strong demand and capacity additions.
Tractor industry growth of ~5% in FY27
Management expects tractor industry growth of around 5% in FY27, based on base effects and rural sentiment.
AI to deliver INR 4,100 crore revenue impact by FY27
AI transform projects are expected to contribute INR 4,100 crore in incremental revenue by FY27.
Last Mile Mobility listing by calendar 2027
Management expects to list Last Mile Mobility in FY28, with calendar 2027 being a realistic timeline.