“In April 2026, we sold about 1.04 lakh motorcycles in the domestic market, which is 37 per cent growth over last year. Inquiry levels are growing almost about 23 per cent compared to previous years and the month,” he said in Eicher’s fourth quarter earnings call.
Royal Enfield recorded its highest Q4FY2026 sales of 313,811 motorcycles, up 12 per cent growth over the comparable period last year. Royal Enfield recorded its highest-ever annual sales surpassing 1.2 million units in FY2026 marking the second consecutive year of crossing the 1 million annual sales.
Total volumes stood at 1,227,977 units, a 22 per cent year on year increase. Domestic sales grew 23 per cent to 1,107,343 units, while international volumes grew 20 per cent with 120,634 motorcycles exported.
Vidhya Srinivasan, Chief Financial Officer, Eicher Motor said there was a 90 basis point impact in the fourth quarter due to commodity prices, which were managed through price increases in January which covered 70 basis points, while the remaining 20 basis points were covered through cost reduction through value engineering.
Govindarajan said they were setbacks because of issues like lack of manpower availability due to elections, issues in LPG availability, power issues and commodity availability, but the situation is easing now.
He said going forward there will be a 3-5 per cent commodity inflation.
The company has taken a price hike in April and is working on cost saving initiatives to offset the impact, Govindarajan said.
Royal Enfield current annual capacity is 1.4 million. The company is undertaking a brownfield capacity expansion at Cheyyar with an investment of Rs 958 crore. This will add 20 lakh units per year.
Royal Enfield operates four manufacturing facilities in Tamil Nadu, with a total projected capacity of 2 million units annually.
The company is set to secure land parcel for a new greenfield manufacturing facility in Tada (Tirupati), Andhra Pradesh. It plans to invest approximately Rs 2,500 crores for the greenfield expansion.
Eicher’s fourth quarter net profit rose 12 per cent to Rs 1,520 crore, while revenue from operations grew 16 per cent to Rs 6,080 crore from the comparable period last year.
In FY2026, the company’s revenue from operations rose 24 per cent to Rs 23,408 crore, while net profit rose 17 per cent to Rs 5,515 crore from last year.
Eicher has declared a final dividend of Rs 82 crore for the financial year 31 March 2026.