Passenger car market leader Maruti Suzuki India Ltd. (MSIL) for the second quarter ended September 30, 2025 reported 7.3% Year on Year (YoY) growth in net profit at ₹3,293 crore despite the company witnessing 5.1% decline in wholesales in the quarter to 440,387 units due to customers deferring buying from mid August because of expectation of GST cut from September 22.
During the quarter, the revenue grew 13% YoY to ₹40,136 crore. Exports grew by 42.2% to 110,487 units, the highest-ever in any quarter, the company said adding the overall sales volume grew 1.7% to 550,874 units in the quarter.
Addressing a press conference R.C. Bhargava, Chairman, MSIL said, “Its an interesting year. After a long time the whole [automobile] industry is optimistic about the future. The timely step of GST reduction has changed the whole perception of the people towards small cars. The mindset of people has changed, and the cars in the 18% GST segment will grow faster than the 40% GST segment.”
Stating that the company had robust sales during the festive period led by demand for small cars, he said the growth momentum would continue.
“The financial results does not reflect the benefits generated from the GST reduction. It will be different in the second half of this financial year.”
He said in October retails, small car (in 18% GST category) sales grew by 30% while big cars have also grown by around 4 to 5 %. Overall company has seen a growth of 20% in retails, he said.
He said considering the demand revival in the small car segment, the company may come up with upgrades of existing models or new models in the future. The company has now made its production plan flexible to cater to the demand for small cars, he said.
Mr. Bhargava said the demand for this segment will help the company to grow its overall market share. “We will sell more cars than any other company,” he said.
The demand for smaller cars is growing faster in the semi urban areas than the top 100 cities, company officials said adding they had enhanced production to reduce the waiting period of various models.
Published – October 31, 2025 09:17 pm IST
