Maruti Suzuki Revenue Growth Hits 3-Year High on India Tax Cuts

Maruti Suzuki, India’s largest carmaker, reported its strongest quarterly revenue growth in more than three years, helped by government tax cuts and robust year-end demand. Revenue rose 29% year-on-year to ₹498.92 billion in the December quarter, beating market expectations, as lower consumption taxes made vehicles more affordable and lifted sales across the industry.

Domestic sales jumped 22% during the quarter, led by a 26% surge in small-car dispatches, while overall sales—including exports and supplies to Toyota under a global partnership—grew nearly 18%. The results come as Indian automakers recover from a relatively slow year, with sector-wide sales hitting a record high in the December quarter.

However, profit growth lagged revenue gains. Maruti’s quarterly profit rose about 4% to ₹37.94 billion, falling short of estimates due to a one-time charge linked to India’s new labour codes, higher commodity costs, foreign exchange pressures, and rare-earth supply constraints. Shares of Maruti Suzuki ended the session 2.4% lower, underperforming the broader market.

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