Mahindra & Mahindra Ltd (M&M) stands as **India's premier automotive and farm equipment manufacturer**, holding market leadership in SUVs and LCVs, positioned as the **#1 tractor manufacturer**, and #1 in EV Re. The company operates as a diversified conglomerate with significant presence across multiple sectors including automotive, farm equipment, financial services, and technology solutions through its various subsidiaries.
As one of India's most trusted brands for over 80 years, the Mahindra Group has consistently outperformed expectations, earning its place as the **best-performing stock in India's NIFTY 50 Index over the last 20 years**. The company has demonstrated a remarkable growth trajectory, with market capitalization across the group companies increasing sevenfold in the last four years alone, driven by a sharp focus on both fiscal discipline and strong growth.
Mahindra & Mahindra delivered exceptional results for Q4 FY25, with consolidated PAT reaching **₹12,929 Crore for the full year, up 20%**, and Q4 consolidated PAT at **₹3,295 Crore, up 20%**. For the full year, revenue rose **14% to ₹1,59,211 Crore**, while PAT grew **15% to ₹12,929 Crore**.
The company's automotive segment showed robust performance, with automotive sector volumes (including Last Mile Mobility and MEAL) up **18% in Q4**, with utility vehicle (UV) sales at **1,49,000 units**. M&M's revenue market share in the automotive segment stood at **23.5%, up 310 basis points (bps)**, while FY25 volumes rose **14% overall**, with UV volumes growing **20%**.
The company maintains a **market capitalization of ₹3,93,266 Crore**, positioning it among India's largest automotive manufacturers by market value.
The automotive division represents Mahindra's core strength, particularly in the SUV and utility vehicle segments. The company achieved a significant gain of **310 bps YoY in SUV revenue share**, and **480 bps YoY in LCV (< 3.5T) market share**. In FY25, Auto Standalone PBIT margin improved by **110 bps**, demonstrating enhanced operational efficiency.
The company has outlined ambitious expansion plans with a capital expenditure plan of **₹27,000 Crore for the automotive business between FY25 and FY27**, as it prepares to launch nine internal combustion engine (ICE) SUVs, seven born electric vehicles (BEVs), and seven light commercial vehicles. The M&M board approved an investment of **₹12,000 Crore in its EV arm, Mahindra Electric Automobile (MEAL)**, to fund its EV journey over the next three years.
In the tractor segment, Mahindra reached its **highest-ever Q4 market share of 41.2%**, gaining 180 bps YoY. The company reported its **highest-ever full-year market share in the tractor segment, reaching 43.3%** — an increase of 170 bps. The farm equipment business showed strong momentum with volumes up **23%** and market share increasing by **170 basis points to 43.3%** by the end of FY25.
Core tractor PBIT margins improved by **200 bps**, reflecting enhanced profitability in this segment. In the farm sector, Q4 consolidated revenue rose **17% to ₹7,933 Crore**, while PAT grew **29% to ₹758 Crore**. For FY25, both farm revenue and PAT were up **6%**.
Financial services AUM grew at **17% during FY25**. The company's gross assets under management (AUM) grew by **17% YoY, reaching ₹1,19,673 Crore**. Mahindra Finance recorded disbursements of **₹15,530 Crore**, reflecting a 2% YoY growth. For the full financial year, disbursements stood at approximately **₹57,900 Crore**, a 3% increase over the previous year.
The financial services division maintained strong asset quality with Capital Adequacy healthy at **18.3%**, Tier-1 Capital @ **15.2%**, and Provision coverage on Stage 3 loans prudent at **51.2%**. The company has over **11 million customers** and has an AUM of over **USD 14.1 Billion**.
The company maintains its steadfast commitment to delivering **15%-20% EPS growth and ROE**. The company generated nearly **₹10,000 Crore of cash in FY25**, which provides it the ability to continue to drive value for shareholders through strategic investments.
Buoyed by strong demand for its vehicles, the company plans to set up a **greenfield manufacturing facility for passenger vehicles (PVs) by 2027-28**. In 2025-26 (FY26), M&M will launch three ICE SUVs (including mid-cycle enhancements) and two BEVs.
The company declared a **dividend of ₹25.3 per share, up 20% for FY25**. FY25 ROE stood at **18.1%**, EPS at **₹115.1**, demonstrating strong returns to shareholders and efficient capital utilization.
* **Revenue Growth (FY25):** 14% YoY
* **PAT Growth (FY25):** 15% YoY
* **ROE:** 18.1%
* **Automotive PBIT Margin Improvement:** 110 bps
* **Tractor PBIT Margin Improvement:** 200 bps
* **SUV Market Share Gain:** 310 bps YoY
* **Tractor Market Share:** 43.3% (highest ever)
The company's CEO highlighted that automotive and farm businesses continue to gain market share and improve profitability, while Tech Mahindra is making commendable progress towards its dual objectives of strengthening client positioning and margin expansion.
