Maruti Q2: modest miss, solid underlying mix

reported Q2FY26 net profit of ₹3,293 crore, below the Street’s ₹3,458 crore estimate, as higher discounts and cost absorption around the Kharkhoda ramp tempered margins despite better mix and exports support. Revenue growth was underpinned by improved realisations and robust exports contribution, partly offsetting muted domestic small-car demand and input-cost headwinds.​ Key takeaways * Profit miss: Earnings came in lighter than consensus as discounting and new-plant costs weighed on operating leverage, even with mix tailwinds from UVs and premium trims.​ * Volume context: Unit volumes likely grew low-single digits YoY, with domestic entry segment softness offset by stronger exports, now estimated near 20% of sales versus ~14% a year ago.​ * Margin drivers: Realisation gains and operating efficiency helped, but commodity and ramp-up expenses capped expansion; watch guidance on discount trajectory into the festive quarter.​ Market/industry lens The print fits the broader auto theme of mix-led resilience amid uneven mass-market demand and rising competitive intensity in small cars. Near term, investor focus shifts to festival retail, export momentum, and Kharkhoda stabilisation, which will shape H2 margin cadence and FY26 earnings glidepath. Source: The Economic Times No Recommendations