Hyundai Motor India Q2 results came out on Wednesday, October 28, 2026, and the story is a familiar one: the showrooms were busy, but costs ate into the profit. Consolidated net profit for the July-September quarter fell 23.9% year on year to ₹1,196.5 crore, from ₹1,572.25 crore a year earlier, Business Standard reported. This happened in a quarter when the carmaker sold more vehicles than ever.
Hyundai Motor India Q2 results: the key numbers
Consolidated revenue from operations came in at ₹20,696 crore, up about 19% from a year ago. It’s the first time the company’s quarterly revenue has crossed ₹20,000 crore. Total expenses grew faster though, rising 24% to ₹19,302 crore.
Operating profit tells the same story. EBITDA fell 18.7% to ₹1,975 crore. The EBITDA margin dropped to 9.5% from 13.9% a year ago, though it did tick up from 9.3% in the June quarter.
On a standalone basis, profit dropped 24% to ₹1,189 crore from ₹1,570 crore, and standalone revenue rose 18% to ₹20,191 crore from ₹17,061 crore, according to The Economic Times.
Record volumes, thinner margins
Volumes weren’t the problem. Total sales hit a quarterly record of 219,072 units. Domestic sales grew 19%, rural markets made up a record 26.6% of domestic sales, and CNG models reached a record 19.1% share. Exports rose 4% year on year and 38% over the June quarter, ET reported.
The real hit came from raw materials. Head of investor relations K S Hariharan told reporters that raw material inflation cut margins by about 400 basis points year on year and about 250 basis points from the previous quarter. Copper, he said, is still getting more expensive. Employee costs also went up because the new Pune plant is now running, which it wasn’t a year ago. As a share of revenue, though, employee expenses fell to 3.6% from 4.6% in the June quarter.
Pricing held up reasonably well. Domestic discounts fell to 2.9% from 3.2% a year ago, and the average selling price rose 2%. MD and CEO Tarun Garg said the company has absorbed as much of the cost increase as it can, and a price hike will probably come if commodity prices stay where they are.
What to watch next
Management is sticking to its full-year EBITDA margin guidance of 11-14% and expects margins to improve in the second half, but it didn’t give a timeline. That gap matters. With the June and September quarters at 9.3% and 9.5%, the second half has a lot of ground to cover.
Product launches are what could close it. The Bayon SUV launched this week at an introductory price of ₹10 lakh, and Hyundai plans a dedicated mass-market EV in Q4 FY27. Garg said rural demand hasn’t slowed in the past six weeks.
The stock closed 1.13% higher at ₹1,875 on BSE, ET reported, after rising more than 4% to ₹1,938 during the day. The market seems to be looking past this quarter’s margin squeeze. Two-wheeler makers had a better quarter: see our coverage of TVS Motor’s Q2 results and Hero MotoCorp’s Q2 numbers from the same day.
Sources: Business Standard and The Economic Times (consolidated results, standalone results), all dated October 28, 2026.
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 any investment decision.
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