Tata Motors Commercial Vehicles, a key entity following its recent demerger, is poised to unveil its December quarter (Q3FY26) financial results on Thursday, January 29. This announcement marks the second earnings report since the structural separation, and market sentiment is overwhelmingly positive. Brokerages are anticipating a stellar performance, underpinned by significant volume growth in the standalone commercial vehicle segment, enhanced operating leverage, and notable margin improvements.
Analysts Project Double-Digit Growth Across Key Metrics
Industry experts widely predict double-digit sequential increases in revenue, Ebitda, and profit for Q3FY26. This optimistic outlook reflects a combination of improving demand dynamics and effective cost management strategies. The quarter has been characterized by a robust recovery in various sectors, contributing to Tata Motors' operational strength.
Q3 Preview: Insights from Motilal Oswal
Motilal Oswal, a prominent brokerage firm, has emphasized the resilience of India's commercial vehicle market during the quarter. This strength is attributed to factors such as GST reductions and a favorable comparative base from the previous year. According to their analysis, commercial vehicle volumes surged by 21% year-on-year, with medium and heavy commercial vehicles (MHCVs) growing at 24% YoY, outpacing light commercial vehicles (LCVs) at 18% YoY. This disparity indicates a notable revival in construction, mining, and infrastructure activities, which are key drivers for MHCV demand.
On the financial front, Motilal Oswal forecasts that Tata Motors' operating margin will expand by 100 basis points year-on-year, reaching 13.2%. This improvement is largely driven by operating leverage benefits. Revenue is estimated to climb to ₹20,798.8 crore, representing a 23.4% quarter-on-quarter increase. Ebitda is projected to rise by 32.1% QoQ to ₹2,751.8 crore, while profit after tax is expected to grow by 37% QoQ to ₹1,842.4 crore.
Operational Highlights and Market Performance
Operationally, Tata Motors achieved double-digit sales growth in Q3FY26, supported by a post-monsoon resurgence in construction and mining sectors. Steady demand from core industries and automotive logistics further bolstered this performance. Ahead of the results announcement, Tata Motors' shares reached a new high of ₹460.20 on Wednesday, registering a 4% intraday gain on the BSE. Since its listing, the stock has appreciated by 40%, rising from ₹327.65 on November 12, 2025, reflecting strong investor confidence and market optimism.
As the company prepares to disclose its quarterly figures, stakeholders are keenly watching for confirmation of these projections, which could signal continued momentum in India's automotive and industrial landscapes.
