Hero MotoCorp shares fell 3% to an intraday low of ₹5,161 on Thursday, 29 October, after the company reported profit after tax (PAT) that missed analyst estimates for the quarter ended 30 September 2026 (Q2 FY27). The two‑three‑wheeler maker’s standalone net profit rose 5% to ₹1,456 crore, while revenue from operations climbed 21% to ₹14,687 crore. EBITDA increased 8% year‑on‑year to ₹1,967 crore, but the EBITDA margin contracted to 13.39% from 15.03% in the same period last year. The market reacted to the earnings miss, with the stock trading below its recent high.

On a standalone basis, Hero MotoCorp’s revenue from operations jumped 21% to ₹14,687 crore, up from ₹12,126 crore in the year‑ago period. EBITDA rose to ₹1,967 crore from ₹1,823 crore YoY, marking an 8% growth. However, the EBITDA margin fell to 13.39% from 15.03% YoY, reflecting tighter cost pressures. Net profit increased 5% year‑on‑year to ₹1,456 crore, but the company still fell short of analysts’ expectations due to lower financial income. This shortfall was attributed to a decline in interest income and higher tax expenses.

Consolidated figures show revenue of ₹14,971 crore and PAT of ₹1,861 crore for the quarter. The results also include a ₹397 crore gain from the equity consolidation of an associate company, following its capital raise via a qualified institutional placement (QIP) and private placement. Hero MotoCorp announced it will invest up to ₹300 crore in its wholly owned subsidiary, HMCL Netherlands B.V., in one or more tranches to further invest in HMCL Colombia S.A.S. and Hero MotoCorp Do Brasil Ltda.

Volume growth was 10% on a standalone basis in Q2 FY27, with a sequential rise of 11% over Q1 FY27. Hero MotoCorp said its segments – premium, scooter, electric mobility, global business and commuter – delivered strong performance. Scooters emerged as a key growth contributor, supported by healthy momentum across both internal combustion engine (ICE) and VIDA electric portfolios. The 100cc motorcycle segment continued to contribute to overall growth, underscoring the resilience of the company’s portfolio in the current fiscal year.

Analysts at Jefferies noted that EBITDA rose 8% annually in Q2 FY27, matching estimates, while net profit increased 5% year‑on‑year but fell short of estimates by 4% due to lower financial income. JP Morgan analysts said revenue and EBITDA beat their estimates, with an EBITDA margin of 13.4%. Adjusted net profit also rose 5% but missed estimates. They highlighted better gross margins but cautioned that commodity costs and growth outlook remain key monitorables in the current reporting period.

At 11:54 AM, Hero MotoCorp shares traded at ₹5,197 on the National Stock Exchange, down 2.36%. As of 29 October 2026, the company’s market capitalisation stood at ₹1.04 lakh crore. CEO Harshavardhan Chitale said the company delivered a strong performance this quarter, with scooters emerging as a key growth contributor and the 100cc segment continuing to drive overall growth. He added that the firm would focus on sustaining momentum, driving profitable growth and building a more diversified and future‑ready business firmly. Also read: Jupiter Wagons shares surge 9% on ₹1,140 crore order from Railway Ministry; eyes ₹2,000 crore inflows in Q4 FY27.