Hyundai Motor India Limited (HMIL) announced its financial results for the second quarter of fiscal year 2027, revealing a 24% decline in net profit compared to the same period last year. The company’s revenue, however, crossed ₹20,000 crore for the first time, reflecting strong sales growth despite challenges from rising commodity costs.
- Net profit fell 24% year-on-year (YoY) to ₹1,912 crore in Q2 FY27.
- Revenue from operations increased 18% YoY to ₹20,191 crore.
- Domestic vehicle volumes grew 19% both annually and quarter-on-quarter (QoQ).
- Rural market penetration reached a record 26.6%.
- CNG vehicles made up 19.1% of total volumes in the quarter.
- Exports rose 4% YoY and 38% sequentially despite geopolitical challenges.
Why did Hyundai Motor India's net profit decline in Q2 FY27?
Hyundai’s net profit dropped primarily due to increased commodity costs, which put pressure on the company’s profitability. Operating profit, measured as earnings before interest, taxes, depreciation, and amortisation (EBITDA), fell 20% to ₹1,912 crore compared to ₹2,383 crore in the same quarter last year. The EBITDA margin contracted from 13.97% to 9.47% year-on-year. However, the company managed to improve its margin sequentially through operating leverage, a healthy product mix, and cost reduction initiatives.
How did Hyundai perform in terms of sales and market penetration?
Hyundai reported a 19% increase in domestic vehicle volumes both annually and quarter-on-quarter. The company achieved an all-time high rural penetration of 26.6%, showing growth in less urbanized areas. Additionally, CNG vehicles accounted for a record 19.1% of total sales during the quarter, reflecting a shift toward alternative fuel vehicles. Exports also grew by 4% year-on-year and 38% sequentially, despite ongoing geopolitical challenges.
What were Hyundai's half-year financial results?
For the first half of fiscal year 2027 (H1 FY27), Hyundai Motor India’s net profit declined 29% to ₹2,072 crore from ₹2,906 crore in the previous year. Despite the profit decline, revenue from operations increased by 9% to ₹36,056 crore compared to ₹33,086 crore in H1 FY26. This shows that while profitability was affected, overall sales and revenue continued to grow.
What are Hyundai's future plans and outlook?
Tarun Garg, Managing Director and CEO of Hyundai Motor India, described Q2 FY27 as a milestone quarter due to record volumes and revenue exceeding ₹20,000 crore for the first time. He acknowledged that elevated commodity costs affected profitability but expressed optimism for the second half of the fiscal year. The company plans to launch the Bayon model, marking the start of a new product cycle, and is preparing to introduce a dedicated mass-market electric vehicle in Q4 FY27. Despite macroeconomic uncertainties, Hyundai aims to strengthen its leadership in key segments and focus on sustainable growth and profitability.
How have Hyundai Motor India’s shares performed recently?
On October 28, 2026, Hyundai Motor India’s shares closed at ₹1,866.90 on the National Stock Exchange, up 0.3% for the day. However, the stock has fallen 19% since the start of the year and declined 9% over the past month. Over the last six months, the shares have increased by 2%. The company’s 52-week high was ₹2,468 on November 3, 2025, and the 52-week low was ₹1,658 on April 6, 2026. As of October 28, 2026, Hyundai Motor India’s market capitalization stood at ₹1.52 lakh crore.
