Why did Maruti's profit fall when revenue grew so strongly?

Two things hit PAT this quarter that didn't affect EBITDA or EBIT. First, raw material costs went up 240 basis points as a share of sales—steel, aluminium, and electronics all got more expensive. Second, Maruti holds a large investment portfolio, and mark-to-market losses on those investments reduced "other income" below the EBIT line. Operating profit was actually strong, it was below-the-line pressures that dragged down PAT.

What dividend did Maruti Suzuki announce for FY26?

The board recommended a final dividend of ₹140 per share for FY26. The record date is August 7, 2026, and the expected payment date is September 9, 2026.

Why did exports grow so much in Q4 FY26?

Exports jumped 61.3% to 137,215 units, contributing 20.3% of total quarterly volume. Maruti has been expanding dispatch capacity to markets in Africa, Latin America, and the Middle East over the past two years. Q4 FY26 is the sharpest quarterly payoff of that push. For the full year, exports were 4.48 lakh units, a record and up 34% over FY25.

What is EBIT and why does it matter that it hit an all-time high?

EBIT is Earnings Before Interest and Tax, it measures how much profit a company generates purely from running its business, before financing costs or tax. Maruti's EBIT hit ₹4,409 crore, an all-time high. That tells you the core car-making and selling operation is more profitable than it's ever been. The PAT miss was driven by investment losses and commodity costs, not by any weakness in operations.

How did the UV segment perform?

Utility Vehicles grew 14.9% to 219,721 units and made up over 40% of domestic sales. This continues the multi-year industry shift toward SUVs and crossovers. Maruti's UV portfolio includes the Brezza, Grand Vitara, Ertiga, Invicto, and the newly launched Victorious. Mini and Compact categories were softer, with Compact volume down 5%.

How did Maruti Suzuki perform for the full year FY26?

For FY26, Maruti sold 24.2 lakh units (up 8.4%), grew net sales by 20%, and delivered a PAT of ₹14,445 crore, just 1% higher than FY25. The modest PAT growth despite strong revenue growth tells you that commodity cost pressure was a recurring theme through the year, not just a Q4 issue.

Maruti Suzuki Q4 FY26 Results: Revenue +29%, Profit -7%

Maruti Suzuki Q4 FY26 Results: Revenue Jumps 29%, Profit Falls 7%

Revenue from operations hit ₹52,449 crore, and EBIT reached an all-time high, but PAT fell 7%. Here's the full breakdown.

Revati Krishna

Published: 28 Apr 2026, 04:30 AM IST (6 days ago)

Last Updated: 28 Apr 2026, 04:36 PM IST (6 days ago)

5 min read

Quick Answer

Maruti Suzuki's Q4 FY26 revenue from operations rose 29% to ₹52,449 crore, driven by a 61% jump in exports and steady UV demand. But PAT fell 6.9% to ₹3,591 crore due to rising raw material costs and mark-to-market losses on investments. Operating EBIT hit an all-time high of ₹4,409 crore. The board declared a ₹140/share final dividend for FY26.

Maruti Suzuki has put out its Q4 FY26 numbers, and they're a mix of genuinely good and genuinely bad. Revenue and volumes are up sharply. The stock fell 2.5%. Both of those things are true, and the quarterly data explains why.

Metric	Q4 FY26	Q4 FY25	YoY Change
Sales Volume (Units)	676,209	604,635	+11.8%
Net Sales (₹ million)	500,787	388,391	+28.9%
Op. EBITDA (₹ million)	61,569	48,426	+27.1%
Op. EBIT (₹ million)	44,092	33,812	+30.4%
PBT (₹ million)	48,360	48,618	-0.5%
PAT (₹ million)	35,905	38,573	-6.9%

Source: NSE

Revenue from operations reached ₹52,449 crore in the March quarter. Net sales grew 28.9% to ₹50,078.7 crore. Volume was up nearly 72,000 units year-on-year, which is solid in a market that doesn't exactly hand out growth.

The operating numbers look good. EBITDA and EBIT both grew above 27%. Operating EBIT hit ₹4,409 crore, an all-time high for the company.

PAT, though, fell 6.9% to ₹3,591 crore. The gap between operating performance and the bottom line comes down to two things: raw materials got more expensive, and the company took mark-to-market losses on its investment portfolio, which dragged down other income. The board recommended a ₹140/share final dividend for FY26.

Why margins came under pressure

EBITDA margin slipped 20 basis points, from 12.5% to 12.3%. That's a small move at the operating level. The bigger hit showed up lower in the P&L.

Parameter	Q4 FY26	Q4 FY25	Change (bps)
Material Cost	76.7%	74.3%	+240
Employee Cost	4.5%	4.6%	-10
Other Expenses	11.3%	13.9%	-260
Op. EBITDA	12.3%	12.5%	-20
PBT	9.7%	12.5%	-280
PAT	7.2%	9.9%	-270

Raw material costs are the main story. Material cost as a share of sales went up 240 bps, steel, aluminum, and electronics are all more expensive. Employee costs and other expenses were actually lower, so the company ran tight on the controllables. Selling expenses and ad spend both came down.

The bigger move is in PBT and PAT margins, which fell 280 and 270 bps, respectively. That's where the investment portfolio losses showed up. Operating profit was fine — it was below the EBIT line where things got messy.

Exports were the real story this quarter

Exports jumped 61.3% to 137,215 units — 20.3% of total Q4 volume. Domestic sales came in at 538,994 units, up 3.7%.

When one quarter's exports contribute a fifth of your total volume, it changes how you read the business. Maruti has been expanding aggressively into Africa, Latin America, and the Middle East, and Q4 is the most visible payoff of that push so far. This also means exports were responsible for most of the volume growth; domestic grew just 3.7%, while the overall number was 11.8%.

For investors, a higher export share means more revenue diversification away from India's domestic demand cycles. It's a real earnings lever, not just a good headline.

The SUV shift continues eating into entry-level volumes

UV sales rose 14.9% to 219,721 units, over 40% of domestic volume. Mini and compact segments were slower. Compact actually fell 5%.

This has been playing out for two years now, and it's sharpening rather than stabilising. Buyers are moving up the value chain, and Maruti has products to catch that—Brezza, Grand Vitara, Invicto, and now the Victorious. But it does mean the entry-level mass market that built the company is growing more slowly.

Full-year FY26 performance

Metric	FY26	FY25	Growth
Sales Volume	2,422,713	2,234,266	+8.4%
Net Sales (₹ million)	1,743,695	1,450,980	+20.2%
Op. EBITDA (₹ million)	214,502	201,492	+6.5%
PAT (₹ million)	144,454	142,976	+1.0%

Maruti crossed 24 lakh units for the year. Revenue grew 20%. PAT grew just 1% — cost pressure ran through most of FY26, not just Q4. Record exports of 4.48 lakh units for the full year are a bright spot that tends to get missed in the focus on PAT.

What the numbers actually tell you

Revenue and volume growth are strong — most carmakers would take these numbers. The problem is that commodity costs are eating into that growth at the bottom line. Operating profit is fine, actually exceptional given the all-time high EBIT. The PAT dip is real, but it's partly driven by investment portfolio noise (mark-to-market) that doesn't necessarily repeat.

The export acceleration is the number worth watching. If Maruti is genuinely building a global base — not just selling off excess inventory abroad — then the earnings diversification story is real. The market's 2.5% reaction prices in the profit miss but doesn't fully reflect that possibility.

Maruti's operating EBIT hit an all-time high this quarter. The PAT miss is real, but it's driven by investment losses and commodity costs — not a deterioration in the core business.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.