Thanks, Indira. Welcome to TVS Motor Company Limited 4Q FY '26 Post Results Conference Call.

From TVS Motor Management, we have with us today Mr. K.

N. Radhakrishnan, Director and Chief Executive Officer; Mr.

K. Gopala Desikan, Chief Financial Officer.

I'll now hand over the call to Mr. K.

N. Radhakrishnan for the opening remarks, to be followed by question-and-answer session.

Over to you, sir.

Good evening, everyone, and thanks for joining us today. We are delighted to share that during last financial year of 2025-2026, TVS Motor Company surpassed all its previous highs and achieved an all-round record performance, achieved the highest ever sales volume, revenue, and profit.

Our sales volume grew from 4.7 million units to 5.9 million units, a 24% growth. Revenue grew from 36,251 crores to 47,270 crores, a 30% growth.

Operating PBT grew from 3,553 crores to 4,975 crores, a 40% growth. When we look at the two-wheeler ICE growth, it grew by 19% over the previous year, and the industry growth during the same time was about 10%.

Two-wheeler international market, company sales grew by 31% over last year, as against industry growth of 23%. Total two-wheeler ICE sales grew by 22% compared to last year, as against industry growth of 12%.

EV two-wheeler sales grew by 33%, and it is at 3 lakh, 3.7 lakh units, as against last year's 2.8 lakh units. Total sales of three-wheelers grew by 63% to 220,000, as against 135,000 units during last year.

On financial performance, during the year, company's EBITDA grew by 37%. Last year was 4,450 crores, and this financial year it is 6,079 crores.

The EBITDA margin improved by 60 basis points, 12.9 12.9% this year, vis-à-vis last year's 12.3%. Operating PBT grew by 40%.

During this year, the company generated an operating free cash flow of 3,805 crores, as against 2,586 crores, a growth of 47%. Now, when we look at Q4 sales, company achieved the highest ever revenue of 12,808 crores, a growth of 36% over last year.

It is the highest. Two-wheeler domestic ICE sales grew by 26% compared to Q4 of last year, as against an industry growth of 24%.

International market, company sales grew by 23%. Total two-wheeler ICE sales grew by 26% in Q4.

EV two-wheeler sales grew by 51%, 115,000, as against last year's 76,000. Total sales of three-wheelers grew by 65%, 60,000 units, as against last year's 37,000 units.

On financial performance in the quarter, Q4, sales revenue was 12,808 crores, and we achieved the highest EBITDA of 13.1%. During the quarter, company's operating EBITDA was at 1,679 crores, as against last year's 1,172 crores.

Company registered a PBT of 1,358 crores during this quarter, as against 851 crores in Q4 last year. Now let me talk about TVS Credit performance.

The TVS Credit Services during the financial year 2025-2026 again has achieved a record level of PBT, 1,248 crores. The book size is now 30,631 crores.

Q4 TVS Credit reported sustained growth in disbursements, supported by improved consumption sentiment and traction across all retail financing segments. The two-wheeler category witnessed strong demand during this quarter, aided by steady recovery across urban, semi-urban markets.

Definitely, we have seen the increasing adoption of electric vehicles, of course, supported by the improved affordability and good finance penetration in the market. Consumer durable financing remains steady, driven by seasonal purchases and increased discretionary spending.

Company continue to maintain its focus on risk-calibrated growth across all product categories. TVS Credit has adopted a prudent and proactive approach to underwriting and risk through calibrated credit policy restrictions and sharper credit matrices.

Overall, the portfolio quality has improved through reduction in total credit cost and GNPA. Financial year 2025-2026, the TVS Credit disbursed loans to over 53 lakh new customers.

Overall, the customer base is almost 2.4 crores now. TVS Credit continues to focus on leveraging technology, innovation through digital transformation, deeper customer relationships, and while maintaining strong risk management practices with external credit rating of AA+.

The book size has grown by 15%. Now it is at 30,631 crores, as against last year's 26,647 crores.

PBT has grown by 22%, 1,248 crores, as against 1,027 crores last year. For this quarter, PBT has grown by 15%, 348 crores, as against 302 crores during the Q4 of last year.

On TVS Motor international business performance, we have recorded highest ever international business sales of 15.8 lakh in the financial year 2025-2026, a growth of 33% year-on-year. This performance was driven by very good demand for all our products, the excellent range, and sustained and continued strengthening of our distribution in these markets.

Africa, Asia, LATAM remains our key countries. Africa has done extremely well.

Now we are focusing in LATAM region, and we have seen very encouraging traction in many markets, and there is an opportunity for further leveraging this market for TVS. As Asia is also doing well now.

Sri Lanka is fully back on track. Nepal is doing extremely well.

Bangladesh, there are some changes we have brought in, and the exports will start soon. Q4 exports performance reflects sustained momentum, and we are able to improve our product mix.

Three-wheeler segments has started showing improvement now, and we are confident that going forward in this financial year, we will keep up the same momentum for TVS Motor growth. On new products, I'm very sure all of you would have seen Orbiter V1.

It has done well with 1.8 kW battery, and this is for a different set of customers. Now it is available in two ranges: V1 1.8 kW and V2 3.1 kW.

We have also started BaaS across EV portfolio. This will also give an opportunity for customers to subscribe to battery usage instead of paying full battery cost upfront.

We have also launched the TVS King Kargo heavy-duty CNG. As the cargo vehicle EV is also giving very good response from the customers.

The recently launched CNG cargo is going to give us very good the response. Initial months have been very promising.

Built on durability, ease of operation, the vehicle comes with robust leaf spring suspension. It offers very good ergonomic cabin, with top speed of 62 km/h, excellent ground clearance, and turning radius.

I'm very sure with these two launches of cargo EV and cargo CNG, we will take a very prominent position in the cargo category in three-wheeler. On Norton, all of you know that we started sometime in 2021, and we have invested behind building new products.

This year is very, very key. We have unveiled our products in EICMA Milan.

We got excellent feedback, and we are going to soon come up with new model of Norton: Manx, Manx R, Atlas, and Atlas GT. More details of that I will give you closer to the launch.

I'm very sure this will be available in Europe, and some of them will be available in India. So '26-'27 is going to be very, very important year, especially the Q2 of '26-'27.

On domestic ICE business, I'm now looking at this quarter and going forward. Last year you saw very good growth in Q4.

Okay? Urban was slightly better than rural.

And 2025-2026, we saw very good GDP growth. Now coming to this financial year, we are looking at continuation of the GST benefits.

There are some headwinds in terms of the ongoing West Asia conflict. There are challenges in terms of commodity prices: steel, aluminium, crude oil derivatives.

There are pressures on input cost, also some supply chain disruption. We have also gone through similar situations in the past.

Company has also taken many initiatives to further strengthen our cost reduction, improving the product mix, also taking up price increases wherever we are able to look at. This is a continuous journey of closely monitoring the economy and constantly looking at correcting the contribution through various initiatives.

What is most important is our demand, both in domestic and international, for all our models are extremely good. As I said in the April press news, we had some challenges in the supply chain with respect to labor availability, gas, and also some challenges in terms of on-time availability of some raw materials.

Things are becoming better. This month is going to be better, and we are confident that Q1 we will post a very good growth, better than the industry.

On EV, actually the industry is growing better. Last quarter of Q4 last year, we saw 38% growth.

Just to give you some data, the overall penetration in Q4 was almost 7.8%, vis-à-vis 7.1%. If you look at year as a whole, the penetration has moved from 6.2% to 6.6%.

I'm very sure that EV two-wheeler will continue to increase the penetration, and the momentum will continue this year. As we have recently launched iQube 4 S iQube TVS iQube S with 4.7 kW.

This is definitely going to be a favorite EV for family. We have more than 900 900 900,000 Indian customers and families are enjoying this product.

TVS iQube has played a key role in driving electric mobility adoption in India. With this new launch of TVS iQube S, it offers a range of 175.

It comes with new colors and enabling families to go further with greater ease and confidence. On commercial mobility, we are consistently improving on our EV three-wheelers.

Now the Vahan share is continuously increasing for our three-wheeler EV, and we are confident that in this financial year, we will reach a very prominent place with overall the EV passenger, EV cargo, in addition, the cargo CNG what we have launched. All of you know that TVS Motor has recently signed a joint development agreement with Hyundai Motor Company to commercialize an electric three-wheeler.

This is going to be redefining the mobility. As Hyundai Motor will lead the design and co-develop the e-three-wheeler by leveraging its research and development expertise, advanced mobility technologies, and human-centric design approach.

TVS Motor will co-develop the product using our leading-edge electric platform, extensive three-wheeler engineering expertise, deep local market understanding. I'm very sure with our long legacy of trust, quality focus, we will be able to come up with a product which is a grand success in the market.

On international business, what we have seen in Q4, I'm very sure that this year also you will see the momentum. We are also closely monitoring the effects of the war situation.

As I speak, every international market, we are seeing very good pull for TVS range of products. We are also constantly monitoring.

There are some challenges, especially in the lead time for delivery because of some of the logistics issues, but I'm confident that with our close monitoring and working with our distributor, we will be able to overcome this. To conclude, during Q4, you have seen our EBITDA has gone to 13.1%.

We will continue to leverage scale benefit, better product mix, and sustained efforts on cost reduction, which will definitely enable us. While there are challenges on geopolitical issues, I think thanks to our customers and our product portfolio, we are confident we'll put every effort to further improve our cost, and we will definitely look at leveraging our growth momentum on top line, better than the industry growth.

This quarter and next quarter, we will be very, very cautious. We will make sure that we will continue to invest in technology, R&D, innovation, and brand building.

We will very closely look at every cost element to make sure that we grow ahead of the industry. Thank you.

Yes, please.

Good evening, sir. Thanks for the opportunity, and congratulations on a strong performance.

My first question is just on your growth outlook for domestic and international for FY '27. What kind of growth are you expecting?

Any color in between motorcycles, ICE scooters, and EV scooters, directionally, what do you expect there? See,

we are expecting a good single-digit growth on the industry this year. We are seeing good growth momentum.

Of course, there are some challenges in terms of the prices going up, especially on gases and inflation little bit going up, but thanks to our product range, the demand situation is very good for us. Let me start with overall, I already highlighted that the EV is doing extremely well, and we have two good brands, iQube and Orbiter.

On scooters, if you look at Jupiter 110, Jupiter 110 and 125, it's doing extremely well in the market, and as a category, according to me, 2026-2027, the growth momentum will continue on scooters. EV will be very good.

Scooters will be very good. Okay?

Also super-premium category is also likely to do very well. The challenge will continue in the economy category.

Okay? Economy category, the challenge will be little higher because that is where most of the customers who have challenges in terms of higher inflation, fuel prices are likely to review.

Fortunately for TVS, we have, for example, currently as I speak, including EV, the scooter category share is almost 38%, and according to me, that is likely to go over 40%, which means scooters are likely to grow faster. We have very strong brands out of Jupiter, NTORQ 125, 150, and the response of 150 is outstanding in the market, which was recently launched.

On the EV side, Orbiter, again, outstanding response in the market. iQube continues to do very well, specially the new variants whatever we have launched.

Scooters, we are strong and we will continue to grow ahead of the industry. Last three years, we have done extremely well on our premium, Apache, and Ronin is doing extremely well.

Super-premium Ronin is also doing extremely well. Overall, we have a very good portfolio.

EV will grow well, scooters will grow well, premium and super-premium will grow well. Then the challenge will be on the economy category, and our proportion in that category is very small.

Okay? Of course, the new moped with alloy wheel is doing extremely well in the market.

What we have seen is if you add value to the customer, still customers are willing to look at even if there are challenges in demand. This is on the domestic market.

Now coming to international market, as we see, the demand for us is extremely good. I am very sure that the momentum whatever we have seen in Q4 will continue this year.

We'll be very closely watching the situation related to the geographical challenges. There are delays in terms of transit time, which we need to support our distributors, which we are working very closely with them.

As long as the demand is very good, we are very confident that we will do better than the industry.

Thank you so much for the detailed answer. On the commodity side, also I just wanted to know how much is the commodity inflation that we are expecting in the coming quarter and how much price hike we have taken?

Also for similar numbers for Q4 FY '26.

See, the commodity, I think this is unprecedented. I think it is around 3% to 5% because as I speak, there are challenges.

We were able to increase prices. 35% of this price increases we were able to offset by increasing prices.

We are closely monitoring the situation. Both in domestic and international, we have passed on price increases.

We'll also keep a close watch on that, and this is something which we will look at it very, very closely. Second, I think the product mix is going to definitely help us.

The leveraging the top line is going to help us. It will be a combination of cost reduction, product mix, growing the scale benefit, and looking at appropriate price increases in the right models.

It's a combination of all strategies put together. We have seen similar situations in the past.

Maybe it is little higher, everything happening in one quarter this time. We will closely monitor that.

Just to clarify, this 3% to 5% is as a percentage of the revenue, right?

Revenue, revenue, revenue. Revenue, yes, yes, yes.

How much was PLI for the quarter?

PLI is about 0.9%.

It's

about 0.9%.

Thank you. Thank you.

I'll come back in the queue.

Hi, good evening, and thank you for taking my questions. My first question is around production capacity.

In FY '26, we've manufactured and sold close to 5.9 million vehicles. Just wanted to understand at this stage what is the rough range of our two-wheeler production capacity and three-wheeler production capacity?

Then you have announced recently that you plan to expand capacity to service demand. Just want to understand what proportional addition we can expect over the next 12 to 24 months as well.

Immediately we are looking at increasing the capacity by another 1.5 million to go to somewhere around 8.3 million because the demand is good, and first time we have to add a significant capacity in the next 12 months. Work has already started in the last quarter of last year, last financial year.

This financial year is going to be very important. Quarter after quarter, we are reviewing.

Possibly for '28 and '29, we are also thinking about which what kind of capacity additions we need to add. One thing we are very clear: we want to be ahead of the industry growth, and for that we will make sure that capacity will not be a constraint, and we will be investing behind that.

Got it. That's helpful.

Second question is just around some of the supply chain challenges that globally the automotive industry is facing. You did call out gas, you did call out certain raw materials for production beyond that.

Rare earth has been sort of up and down over the past 12 months, and EVs are also picking up where rare earths might be important. Just want to understand across some of your key materials, where are some of the challenges presently, in manpower included, and how do you see that progressing over the next few months?

See,

supply chain was something unique we had in the last April and end of March. Primarily, I think it all started the forced geopolitical unrest.

I think the gas prices going up and other energy costs going up. One, it affected the raw commodity, commodity prices, but sometimes the commodity availability.

As we don't keep more than 30 days of stock with our dealers in India. Normally it is 21 to 30 days maximum, and they are all cash and carry.

What happens is, you have to And our retails are extremely good, which you would have seen from our Vahan. Also international, the demand is very good and the retails are extremely good.

Very critical that we are able to ramp up and produce material and give it to them. Our supply chain because of these delays in energy and sometimes raw material, a couple of delays can also affect sometimes production.

This was one. Second, across India we are seeing some challenges with respect to labor.

It is not only unique to south, but many, many areas, especially the Tier 2 suppliers. Tier 1 is able to manage, but many of the Tier 2 they have serious problems, we are supporting them.

For example, month of May we are much better than April. Hopefully, this month, end of this month we will come out of it.

That's why I'm confident about Q1. We will we will be very, very confidently growing ahead of the industry totality, both in retails and in dispatches.

This we have to closely monitor and see appropriate countermeasures. Very, very important.

Got it. That's helpful.

Just my last question is bookkeeping questions just related to the point you made around the channel stock you maintain. If you could just give us at this point in time where the channel stock is for domestic versus the normal channel stock, and for international business as well versus the normal channel stock you maintain, and also if you could share the exports and spares revenues for the quarter.

Channel stock has started improving this month because we were able to produce much better in the first 10 days of May. I'm very sure by end of this month and first week of June, it will come to that.

We always operate between the 21 days to 30 days kind of that range. Fortunately for us, every product is under high pull.

We have to make sure that we deliver that, which we will do. The revenue from international business for Q4 you are asking, right?

Right.

Q4, we are at almost 3,000 crores, 2,999.

Got it.

Spares? Spares part, the total spares part is just a minute, just give me overall spare parts is about 1,122 crores.

Got it. That's helpful.

Thank you very much, and all the best.

1122.

1122. Got it.

Thank you.

Hi, thanks for taking my questions. My first question is just going back to the comments you made that for the next one or two quarters we'll be cautious.

I'm just trying to understand, is it more the cost headwinds that worry you? Is it the supply disruption or maybe to some extent the sort of price increases that the industry is taking to offset the commodity?

Do you see that there could be some risk to the demand as well, which is pretty strong at the moment? Some more clarity on the comments you made around the next two quarters' cautiousness.

We are confident about the demand. I think there is absolutely thanks to customer delight, the products and the product range what we have delivered.

We are very confident on the demand side, and talking about TVS. The uncertainty is on raw material availability, timely availability.

Okay? The costs are high, but a couple of days delay here and there is one one worry.

Another worry which we are getting over completely is the supply chain Tier 2 disruptions. That we are coming out of it fully.

I'm very confident by end of a couple of weeks' time we will be completely out of it. We are closely monitoring the overall situation in terms of what is happening on the geopolitical situation because this is not only for us, it is for the entire industry.

We have to be very cautious about that. When I say cautious, we have to closely monitor what is happening, how the segments are doing well.

Please note that for a distributor also, the material has to reach on time. If there is a 10%, 15% delay in terms of the extra lead time for transit, okay, again, when you have high pull, that is also we cannot lose any opportunity.

Otherwise, we are pretty confident. Maybe in two, three weeks we will come out of it.

Got it. The second question is if you can share a bit more color on the investments that we made in this quarter of 700 crores, and the losses also from subsidiary were a bit higher this quarter.

Any color on that? If you can share a guide for fiscal '27 for investments and CapEx?

See, the the overall, let me tell you, it is more for the overseas subsidiaries. We we spent about investments were about 2,400 crores total, I'm saying, for the year.

Predominantly, it is for Norton. Okay?

Norton, the products are getting ready, and many of the products are going to be seen in Q2 of this year. I'm pretty confident, I have seen the products, they are all extremely good, and it's going to really redefine the super-premium class globally.

The about about 200 crores is in TVS Credit Services, and we also have put as a strategic investment in Dubai to have significant focus on international markets. We have established a total infrastructure and we have invested.

This we said about a couple of quarters back about 300 crores we have invested. All put together, this quarter this year, that's last financial year was 2,400 crores.

Next year the investments will be much lower. It will be maybe another 500, 600 crores lower than this 2,400 crores.

Okay? We are we are because we are we are very confident that many of the investments whatever we have made this is going to start yielding better revenues and start getting results for us.

Now coming to CapEx, our focus on the product development and new products will continue from TVS Motor side. That will be around like this year, around close to 2,000 crores.

Another additional investment is we are I told you we are adding another 1.5 million of capacity. We are expanding in a significant way on all two-wheeler and three-wheeler.

That will be about 1,000 crores plus. Okay?

We are also expanding our R&D because we believe in investing in R&D, capability, testing. All put together, the CapEx for next year for TVS Motor will be likely to be around 3,500 crores.

Got it. Last question, sir, is on the EV capacity.

Like you mentioned, you're upping the capacity. Can you talk about what is the EV capacity on a monthly basis right now, and where do you see that capacity unlocking happening?

To what level are we planning to take it given the demand is rising on the EV side? Any plans to sort of also leverage on these EV products that you have in the international markets because the similar trend that we're seeing in India is also playing out in some of the Asian countries on higher e-two-wheeler demand?

You're absolutely right. I think Asian market, the response to iQube is very good.

We are now starting our Orbiter. Asian market has started a good proportion of our EVs.

Last year if you look at our average was about 32 32,000, around 30 to 32,000. We have now moved maybe around 40,000, and we will soon move to 50,000 per month.

That is the kind of direction we are looking at in EV. We will definitely be ahead of the industry, that I can promise you.

We are constantly looking at our capacity versus demand and expansion in the network. Also you have seen the variants in iQube, you have seen the variants in Orbiter, and we will grow ahead of the industry.

Got it. Thank you so much, sir.

Yes, hi, sir. Thanks for the opportunity.

Sir, my first question was on exports. You mentioned that we are seeing a lot of strength, but in the near term there can be some challenges.

As of now, if you look at Africa, LATAM, and South Asia, are we seeing any signs of any challenges regarding inflation or the same issues that we're seeing in India in terms of gas availability and fuel prices emerging in any of these geographies? Because some of these geographies have announced work from home, rationing of fuel.

Any worries or any concerns you're hearing from the ground here?

See, these are things you have to constantly look at it. What the strength is we have a very strong product range of HLX series: 100, 125, 150.

Mm-hmm. Actually, the demand is so high for us, we are not able to meet the demand today.

Wow.

Country by country, people are loving our products in African market and many other markets. Our endeavor is to significantly and proportionately increase.

Okay? The challenge according to me what we are seeing is the delays in terms of the container availability and making sure that there is 15% increase in the lead times now.

Okay? As when the distributor plans it, whatever the money is putting and he has got certain dealers and sub-dealers, they need to have this plan.

And 15% is like another 10 days delay, 10 days delay or 8 days delay or 1 week delay. This is something we need to plan, and we need to also support them in terms of possibly higher capacity, higher production, okay, better planning.

This is something we have to look at. The inflation, prices of energy, local challenges, this we always constantly look at it.

Because we are not talking about this war situation, but last year or year before that we have seen Ukraine-Russia war also created certain problems in this region. This is something we have been very closely monitoring, and I'm pretty confident that we will come over it.

We will get over these challenges. We'll come up with very clear solution.

What is more delighting is every market is a product sought after, and we are very confident that momentum is going to help us to grow faster than the industry.

Great. That's good to know, and we can see that in your monthly run rate improvement as well.

Sir, my second question is on the domestic market. We've seen in the last 12 months EV three-wheeler and even CNG three-wheeler launch, as well as two-wheeler EV scooter launches.

In the motorcycle category, is there any category launches that we can look forward to in the next 12 months? Any specific category in motorcycles that you're targeting for launches?

See, TVS always believes in investing behind technology, coming up with models which delights the customer. This has been our focus for our growth ahead of the industry, and that momentum will continue.

Last year you have seen iQube, you have seen RTR, you have seen Orbiter now V1 version, and you have seen three-wheeler. We started with the passenger EV, then we started cargo, then CNG cargo.

We completely believe in investing behind products, and our strength is R&D, our strength is software, our strength is digital, our strength is connected services. This is something we will continuously invest and we will drive.

That's also the reason our CapEx is pretty high.

Yeah. Because

we don't stop in investing. We always say that these are all medium- to long-term strategy of the company to grow aspirationally in every market, and on top of it, super-premium Norton.

Okay? There are models which we are investing.

Products are getting ready in our Hosur plant and Solihull. We are very excited about '26-'27.

I think it is going to be a key turnaround year for the next phase of growth for TVS and Norton.

That's great to know. Just a clarification, will you be manufacturing these initial Norton products in India as well?

Yes, yes, yes.

Okay.

Solihull is looking at one model which is in the high end, where we'll be making it there. Okay?

The other models are going to be made here. We will also look at what type of models in Solihull, what type of models in India.

We are leveraging India, especially the Hosur plant, in a big way.

Okay. That's great, sir.

Thank you. Thanks for the opportunity.

Sir, thanks for the opportunity. Sir, as per your earlier year's assessment, what has been the impact on rural sales due to El Niño?

My second question is related to looking at the elevated and extended cost inflation, how much more price increase you are planning to take to sustain the FY '26 level margins? See,

one is monsoon. As we open this year, when we look at the reservoir water levels, as of now it is 16% higher.

Okay? It is definitely good for the kharif season.

However, what you said is El Niño risks could moderate the rainfall. Okay?

We have to be constantly watching that, and we have to make sure that the reservoir water levels are very, very critical going forward. That is very critical for looking at, in my opinion, Q3 and Q4, which we will very closely look at it.

What was your second question?

Sir, looking at the elevated and extended cost inflation, how much more price increases you are planning to take to sustain your FY '26 level margins?

Normally, I don't give you any guidance on margins. Okay?

Because we take pricing is a strategy. We look at, and I always believe that pricing is only one element.

We always look at the value what we are giving it to the customer in terms of TCO, in terms of attractiveness, in terms of technology, in terms of connectivity. Pricing is only one element.

We always use the variating strategy. There are different types of customers.

We continue to leverage these methods. When you grow the top line ahead of the industry, that is also going to give you many benefits.

In terms of cost inflation, this 3% to 5%, according to me, it is quite significant. Okay?

We have to closely monitor, and we constantly look at what type of opportunity is given to us in terms of looking at variant, what kind of pricing we can look at. It's a continuous journey.

Okay? Our endeavor is to grow the top line and continue the momentum.

Again, we don't look for one quarter, another quarter. Many a times, we become very anxious about what happens in Q1, what happens in Q2.

We always look at a trajectory. When we started the growth momentum, all of you know that we were at 6.5% in EBITDA.

This quarter, we are closing at 13.1%. We always look at the direction.

Definitely with our product portfolio, the focus what we have on product mix and both a combination of three-wheeler, premium, international business, all these are going to strengthen our realization per vehicle. That is very important.

When you have the realization per vehicle going up, I think you can always leverage cost. We can also amortize our fixed cost over a larger base.

The growth momentum and the EBITDA journey will continue. Okay?

We should not be so much worried about one quarter, two quarter.

Sir, noted, sir. All the best.

Thank you so much.

Thank you.

Good evening, sir. Thank you so much for the opportunity, and congratulations on strong results.

Firstly, sir, in the export market, would you expect the growth to be higher than domestic market in FY '27? Within exports, would you in terms of pecking order, would you say growth will be higher in Latin America, followed by Africa and Asia?

I think if you look at many of these markets, international markets, India I always believe that India has got a huge opportunity, and the type of investments what government has done on the infrastructure side, especially on the roads. Thanks to the consumer class of 1.4 billion, who definitely looks at two-wheeler as a great category for their own income generation and commuting, I'm very sure the growth momentum will continue.

Thanks to GST, I think the entire scenario got changed when government reduced 28% to 18%. Okay?

It's not only on two-wheeler, overall. This war situation has put little bit of challenges, but I'm very sure that the need for commuting, the need for especially 50% of the class is self-income kind of customers, rural customers, that momentum will continue in India.

Now growth, I said about a strong single digit. Okay?

It could even, if things go better in the second half, you can see something becoming better also. We have to be cautious.

I'm saying from the industry point of view. From our point of view, we are optimistic about product range and what we are going to deliver into the market.

Now coming to international, last if you look at '21, '22, '23, we saw a lot of challenges and it went to the bottom. Now all these international markets are coming back.

Last year we saw a good growth. I'm very sure this year also you will see similar growth and the momentum will continue.

Okay? LATAM, you have seen it went down, Africa went down, and we have seen it in Asia.

We are pretty confident that the momentum whatever you have seen will continue in the international market, and especially for TVS, the product pull is very good in the market.

Noted, sir. Very helpful.

Sir, Ronin model has done extremely well, and monthly volume has crossed 8,000 in domestic market. How do you see the potential for this product in domestic and exports?

How do you see this helping your play on premiumization?

Ronin is a great brand. If you recollect, the last three years I always say that we started with 2,000, went to 4,000, 8,000.

Okay? I'm telling you shortly we will cross 10,000.

Okay? It is great pull in India, in every state, and thanks to all those customers who love Ronin.

It is yet another brand like Apache, I can tell you. I don't want to give you any guidance on the volume because we are building it.

Thanks to every customer of Ronin. The pull has started already in international market, every market wherever we operate.

It is going to be a long-standing, very good brand for the super-premium customers. Once again, thanks to all the customers.

Wonderful, sir. Just a housekeeping question, can you share the EV revenue for FY '26?

EV revenue, you have to give me a minute. Just let me look at it.

About 5,000 crores.

Got it, sir. Thank you very much, sir, and wishing you all the best.

Thank you.

Hi, sir. Good evening.

Sir, firstly, on investments, you said that fiscal '27 investments will be 500, 600 crores lower. I thought bulk of the Norton investment is behind us, can you give some color on where that 2,000 crore investment will be spent in fiscal '27?

Investments will be lower, but it will not be zero. I think please understand product development is still continuing because we can't have only few models.

We have to have in all segments models for Norton. It will be lower than this year.

Other investments where we are investing this year, some of them will continue. Some new investments will be there, which closer to the investment we will let you know.

Okay? It may not be in Norton and the current investments because we constantly look at the opportunities and we will be doing that.

Overall, at this point of time, it will be 70% of the current year, somewhere around that.

Right. Sir, when you say new, will it be something outside Norton plus Dubai plus TVS Credit Services?

Can it be something outside these three as well?

We always look at new opportunities, and we want to seize these opportunities. Closer to when we decide, we'll let you know.

Sir, secondly, if I look at our export volumes, while we have done a phenomenal job in terms of growing ahead of the industry, our volumes are still more skewed to Africa. Let's say from the next two-, three-year point of view, do we see an opportunity to gain substantially in LATAM?

How is the experience been in LATAM? Can you speak a bit about that?

Africa we invested long back, and I'm extremely happy the way TVS brand is preferred in Africa. In this, please understand it takes time to establish your brand, and the HLX series, HLX 100, 125, 150 is the most preferred brands in this market.

Asia is very strong for us. Africa is very strong for us.

I completely agree with you, LATAM, we are growing ahead of the industry, which means we are gaining market share year after year. LATAM is going to be the focus for TVS, definitely.

You have to give two, three years' time because we need good distributors, we need very good investment behind brands, we need to have visibility of this brand in the market. Of course, there is huge headroom in Africa and Middle East.

Okay? Huge opportunity even for TVS.

We want to further strengthen Africa and Middle East and put the strong foundation in LATAM, grow it. Okay?

That journey will continue, and LATAM will be the focus.

Sir, just an extension of that. Shall we think that LATAM journey will be more through Apache and Ronin or, it'll be much wider including entry-level products as well?

All products. See, every country I have seen there are proportion of premium, super-premium, and executives and entry level.

See, these are all developing countries. We have to play with the portfolio even for the distributor and dealer productivity and their profitability.

We will play with the portfolio, and sometimes you can also design and develop something unique for this market. Please remember, the Indonesia products are also doing extremely well.

Okay? Last year we did the average of 17,000 per month.

Now we are getting into almost 20,000 plus. This Dazz and Neo are also in many of these markets doing very well.

The portfolio what we have, we will leverage that, and country-specific certain products also we will design and develop. It's a combination of investment behind some new products, leveraging existing models, and we will take it up in a big way.

Got it, sir. Thank you so much, and best of luck.

Can we get into the last question, please?

Hi, sir. Thank you for the opportunity.

I just wanted to understand the strategic rationale behind the Hyundai-TVS partnership in the three-wheeler EV segment and what is the expected timeline for commercialization and product launches under this partnership.

I think all of you know about Hyundai, their capability in terms of their ability to design, look at their R&D capability, advanced mobility technologies, very clear understanding of human-centric approach country by country. We want to completely leverage that.

Equally on the other side, we have excellent leading-edge electric platform. We have the three-wheeler engineering expertise, deep local understanding of Indian market, international market.

We will look at how do we use this both companies leveraging the strength, and how we come with a redefined mobility in the three-wheeler category. I can give you so much now.

I think closer to the launch, I can give you more detail, including the lead time.

An extension to this question, how should we think about revenue contribution and profitability potential from this partnership over medium term?

I think what we have to look at is overall how the company is moving, and we have done extremely well, how we were moved from 6.5% to 13.1%. Whenever we look at, we look at portfolio, we look at every product and every project.

Okay? Overall we look at as a performance of the company, and I'm very confident this also is going to help us in improving our EBITDA journey.

The last question, sir, how do you think about international growth potential for the EV scooters?

I think it has started well, especially in the Asia market. We are also entering into many markets where we are present.

I'm very positive because whether it is iQube or Orbiter, it is loved by the customer. Each country is specific, each country is unique.

We need to be very closer to the customer in understanding and what need they are expecting. Sometimes we may have to also come up with a new model, even in electric, because the customer preferences we have to understand.

That is the strength of TVS. We invest behind, for example, HLX whatever we are selling in Africa and LATAM, we don't sell even one number in India.

We constantly believe in looking at the customer, coming up with the models which are unique to the customer and the usage.

Sir. That was very helpful.

Thank you from my side. That's it.

Overall overall,

thanks everyone. I think last year, last financial year is a great year.

TVS Motor Company posted the highest ever revenue of 47,270 crores, highest ever net profit of 3,615 with the best-in-class quality, our focus on the consumers, strong portfolio of brands starting from Apache, Jupiter, iQube, Orbiter, Raider, NTORQ, HLX, Radeon, Ronin, TVS King, King Kargo, EV, ICE. I'm pretty confident.

All the products from Indonesia, the company will leverage growing ahead of the industry. We will definitely use scale benefit.

We will use the focus premiumization journey. We will focus on the sustained material cost reduction.

We will look at model mix. Okay?

While there are challenges, as I said, we are cautiously optimistic, and we will continuously looking at improving the top line and continue to grow our EBITDA margin going forward. Q1, Q2 we will closely look at it, and we will take appropriate countermeasures, and we will continue to grow the top line and do best for the industry and the customer.

Thank you.