Tata Motors Q2 Results, October 23, 2026: CV Volumes Up 42%, Profit Back in the Black

The Tata Motors Q2 results, out on October 23, 2026, are the first big September-quarter print from the commercial vehicle company since the demerger, and the numbers are strong. Consolidated revenue from operations rose 36% year on year to ₹25,338 crore, and the company swung to a consolidated profit after tax of ₹1,253 crore from a loss of ₹867 crore a year ago. All figures below come from the investor presentation Tata Motors filed on NSE. A quick note on names: this is Tata Motors Limited, formerly TML Commercial Vehicles, which trades as TMCV. The passenger car business is a separate listed company.

Tata Motors Q2 results: volumes did the heavy lifting

Wholesales came in at 135,100 units, up 42% from the same quarter last year. Every segment grew in double digits:

• Heavy commercial vehicles: 33,800 units, up 41%.
• Intermediate, light and medium trucks: 20,800 units, up 24%.
• Small commercial vehicles and pickups: 44,000 units, up 27%.
• Buses and other passenger carriers: 15,400 units, up 31%.
• International business: 21,100 units, up 177%, which the company credits to an order from Indonesia.

The company says domestic industry offtake grew 28% in the quarter, helped by infrastructure work, mining output and festive stocking after a slow, monsoon-hit July. Its first-half domestic market share on VAHAN registration data was 36.2%, up 110 basis points over FY26. EV volumes rose 143%.

Margins held, but commodities bit

On a standalone basis (including the Tata Cummins joint operation), revenue rose 42% to ₹23,930 crore and EBITDA rose 31% to ₹2,806 crore. That gap tells the story. The EBITDA margin was 11.7%, flat on the June quarter but 90 basis points lower than 12.6% a year ago. EBIT margin came in at 9.7% against 10.2%. The company’s own bridge shows higher variable costs, which it puts down to commodity headwinds, largely offset by volume, better pricing and cost savings.

Standalone profit before exceptional items rose 51% to ₹2,660 crore. Standalone PAT was ₹2,138 crore, against a loss of ₹1,021 crore a year earlier, when the books took a ₹2,366 crore exceptional charge. This quarter had a ₹218 crore exceptional gain instead, so the year-on-year profit swing is flattered by that base.

Why consolidated profit halved from June

Here’s the odd bit. Consolidated PAT of ₹1,253 crore was roughly half the ₹2,556 crore of the June quarter, even though operations improved. The reason is the stake in Tata Capital, which is marked to market. That holding produced a fair-value loss of ₹708 crore this quarter, after a ₹1,135 crore gain in Q1. Strip that out and the core business looks steadier than the headline suggests.

Cash, and the Iveco deal

Cash generation was the cleanest part of the report. Standalone free cash flow was ₹4,606 crore for the quarter, against ₹2,210 crore a year ago, helped by ₹2,679 crore from working capital. Standalone net cash stood at ₹11,300 crore, up from ₹7,500 crore in March 2026, while consolidated net cash was ₹15,900 crore.

That cash matters because of Iveco. Tata Motors raised its offer price for the Italian truck maker from €14.10 to €14.40 a share on October 9. As of October 22, 35% of shares had been tendered. The acceptance period closes on October 26, settlement is set for October 30, and the company says Iveco’s consolidation will start next quarter.

What we’d watch

Demand isn’t the worry right now. The two things to track are whether price hikes keep pace with steel and other input costs, and how cleanly a business the size of Iveco gets folded in from the December quarter. Expect the Tata Capital mark-to-market to keep swinging reported profit too. If you’re new to reading results like these, our guide on how to analyse quarterly results walks through it. For why wholesale numbers and registrations don’t always match, see our explainer on dispatch versus retail auto sales. And for the truck-finance side of the same story, read our note on Shriram Finance’s Q2 results.

Disclaimer: This article is for information and education only and is not investment advice. Please do your own research or consult a SEBI-registered adviser before making investment decisions.