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Maruti Suzuki India, which reported an 8 per cent increase in consolidated net profit at ₹3,349 crore and 13 per cent increase in revenue in Q2 FY26, is anticipating an increase in sales of small cars with the reduction in GST rates. “The retail sales of vehicles in the 18 per cent GST category are likely to grow faster than the ones in the 40 per cent category. 70 per cent of Maruti Suzuki India production falls under the lower tax bracket,” said Chairman RC Bhargava, pointing out that small cars have a big role to play in the retail demand. The company stated that during the quarter, it registered its highest-ever net sales of ₹40,135 crore, against ₹35,589 crore in the same period of the previous year. During the September quarter, customers deferred buying due to expectations of a GST-led price reduction from September 22, which resulted in a decline in domestic wholesales, down 5.1 per cent year-on-year to 4,40,387 units. Negative impact The company stated that adverse commodity prices, unfavourable foreign exchange movement, higher sales promotion expenses, limited time price correction, higher advertisement expenses, lower non-operating income and new plant-related expenses had a negative impact during the quarter. During the quarter, cost reduction efforts and higher operating income impacted the company positively. In the first half of the fiscal year (April-September), the company sold a total of 1,078,735 units, comprising domestic sales of 871,276 units and all-time-high half-yearly exports of 207,459 units. In H1 FY26, the company’s total volume grew by 1.4 per cent over the same period last year, primarily driven by a robust 39.9 per cent increase in exports. Maruti Suzuki recorded its highest-ever exports in the quarter at 42.2 per cent to 1,10,487 units. The overall sales volume grew 1.7 per cent to 5,50,874 units in the quarter. “Exports business is going to be a major part of our operations,” said Bhargava. Published on October 31, 2025
