The Mahindra Group is purpose-led, performance-driven, and future ready. Under Anand Mahindra, the group has seen significant momentum, with consolidated revenue doubling and net profit growing 10x over the past five years. Market cap has risen 13x from 2020 lows, adding nearly ₹1 lakh crore in 2025 alone. Growth gems have seen a 7x increase in value. Joining us today is the entire top team, starting with the captain, Dr. Anand Mahindra. Also present are Amjuti Bwa (CFO), Royal Rebello (Mahindra Finance), VJ Nakra (Farm), Suman Mishra (Last Mile Mobility), Amit Sina (Life Sciences), Ain Ashra (Sust), Raj Jajurikar (Auto), Abanti Sankar Narayan and Mohi Jooshi (Tech Mahindra), Binod Sahai (Aerospace), Asha Kara (Brand), Manoj (Holidays), and Nalin Kant Golka (Auto). Anand, you remain confident about the growth outlook for the group and the Indian economy. What headline numbers have you asked these leaders to chase?
Shireen, it's great to be here. This incredible team and all our associates have driven our performance. We've delivered impressive numbers, but our aspirations are even greater. Starting with holidays: we're the number one leisure hospitality player in India, and Manoj has aggressive plans for growth, including Mahindra Signature Resorts and creating more value for our membership base. Our auto and farm businesses continue to grow extremely well. At our investor day, we discussed key metrics for each business through the decade. Auto and farm have revenue growth targets of 8x and 3x respectively, translating to higher profit and market cap growth. Mahindra Finance has promised 5x AUM growth this decade. Tech Mahindra is on a good track with a clear path to margins. Sust has won significant deals and is on track to grow 5x. Lifespaces has a plan for 14x growth in free sales, already more than half achieved. Our electric three-wheeler business has grown 65x and now represents over 30% of the market. We have strong leaders focused on purpose. Our aerospace business is among the most promising, with a 12x revenue growth target. From Airbus alone, orders jumped from $150 million to $1.13 billion last year, reflecting our quality. Our CFO ensures discipline across all businesses.
He's smiling very sheepishly as you say that.
He's achieved a lot in the last two years. We've overcome the difficult part of improving asset quality and customer experience with technology and data. Now it's a pivot to growth for Mahindra Finance. Tech Mahindra is on track, and Sust has won significant deals. Amit has already achieved more than half of his 14x growth target and says it's a low target. Our electric three-wheeler business is the largest by a good margin, with 65x growth from a small base. Electric is now over 30% of the three-wheeler market and soon to be 50%. We have very strong leaders. Abanti and Ashra focus on purpose. Our aerospace business stands out for quality; customers are global OEMs. The order book from Airbus alone shows our progress. Our CFO keeps everything together with discipline.
Thank you for that comprehensive overview. It's clear the Mahindra Group is much more than its auto business. Auto now contributes about 25% of profit and cash generation, while services and farm are higher. The group has outgrown its auto business.
Auto continues to be a mainstay and our most exciting business, but other businesses have grown rapidly. Farm remains a huge deliverer of profit and cash. Our growth gems were worth ₹8,000 crore in March 2020 and are now worth ₹56,000 crore, a 7x growth in just over five years. Mahindra's share in them is ₹48,000 crore. The value of growth gems to Mahindra today is higher than the value of Tech Mahindra or Mahindra Finance to the shareholder. Much of that value is not captured by analysts because they don't give much value to unlisted entities, but you'll see value unlock going forward.
I'll come to the value unlock in a second. Since you brought up Mahindra Holidays as the big headline maker this morning, let me go to Manoj. Congratulations on Signature Resorts and the foray into leisure hospitality. What gives you the right to win in that competitive space? What will be your key differentiator?
Thank you, Shireen. Over the last 27-28 years, we've built a strong association with family holidays in India. We see a wide space where no one is focusing on premium family holidays, and we want to occupy that. We combine our historical strengths. We are already number three in leisure hospitality by rooms, so we have the expertise to scale. Experience is the new currency; 80% of people want experiential holidays. Experience is embedded in what we do. This positioning is different from everyone else, and that will help us win.
And a ₹1,000 crore capex plan for Signature Resorts. You have about 5,742 keys today. Are you targeting 10,000 keys by 2030?
When I add both brands—Club Mahindra and Mahindra Signature Resorts—we are targeting 12,000 keys. The split is 10,000 in Club Mahindra and 2,000 in the new brand. The capex is for Signature Resorts. Initially, we'll invest, but as the brand develops, there are many capital-light models to scale with less capital.
Any plans on M&A in this space?
Everything is open. Whether we build, buy, lease, or do management contracts, all avenues are open. We'll keep looking.
Okay. I'll come back to you. Let me turn to Mahindra Finance. The articulation was clear that this business required a turnaround. Where do you stand today? AUM has grown about 13% year-on-year, but profitability is flat at 2%. Take me through your comfort level and growth plan.
Thank you, Shireen. We've reflected on the last decade, which had three eras. After listing, high growth, then challenges during COVID and demonetization. The last three years have given us confidence; asset quality has remained pristine. We've kept GNPs under 4%, and our underwriting is giving stability across cycles. On profitability, we had a good year; in Q2, we grew above 45%. Loan book growth has been flattish at 14%, lower than peers, but we have confidence. Drawing from Anand's target of 5x in a decade, from ₹60,000 crore in FY20 to ₹3 lakh crore, we would have felt constrained if the playbook was just auto and farm lending. We've expanded into mortgage and SME lending. These three together to reach ₹3 lakh crore is a CAGR of about 20%. We feel much better equipped with wider participation. The headroom for growth in these segments is formidable; it's all about execution now.
Speaking of execution and technology, what forays have you made, and how comfortable are you dealing with execution challenges as you scale?
Our business model was very decentralized, depending on last-mile judgment. For a player now at ₹1.3 lakh crore covering 95% of pin codes, we needed a centralized engine. In the last three years, we've implemented best-in-class underwriting tools, a loan origination system using Salesforce, and Tech Mahindra powers our digital journeys. But our customers range from progressive farmers to small entrepreneurs, so we're not force-fitting digital. We accelerate their digital maturity while using assisted models. Our 25,000 employees bring in new-to-credit customers, using technology as an enabler. It's a deft walk.
If regulations were to allow it, does a banking aspiration continue to be on the table?
I'll smoothly pass that question to Anand, our largest shareholder.
If the regulatory environment were to change to make that possible?
If that adds value for shareholders, yes. But we can't preempt the regulator. At this point, there's no indication of that.
Okay. Let's talk about Tech Mahindra, another turnaround story. How comfortable do you feel today with the turnaround, and in the context of AI, how much disruption do you see?
We've had a very good start. We announced our plans on April 25, 2024, and it's now six quarters into a 12-quarter transformation. We focused on top customers, which grew faster. Large deal volume increased 57% over the past 12 months. We said by FY27 we'd be higher than peer group average; we started at the bottom and are now middle of the pack. We planned for 15% margins from 7.5% exit; we've had six quarters of expansion. We've built a remarkable team. From investor ratings, we got three upgrades. Industrial analyst ratings improved from top two quadrants in 60% to 90%. On AI, Gartner rated us a leader for AI and Gen AI, and number one globally for future vision for AI, ahead of all peers. We're confident and committed to our FY27 goals and will sketch out the next three years.
When you say you're number one globally, what do you mean exactly?
Gartner has two axes: current functionality, where we're in the leaders quadrant, and future vision for AI, where we're number one globally. That measures what AI can accomplish for enterprise clients. In six quarters, we have good momentum. We're committed to FY27 goals and will outline the next three years.
Give us a glimpse of what the vision for the next three years could look like.
Left my crystal ball at home. Unfortunately.
You don't need a crystal ball. I'm sure you have a vision board with numbers.
I don't want to manifest my FY30 vision here. The first part of the journey was about becoming world-class, catching up with peers in growth, margins, and deep capability. FY30 will be about becoming world-beating—figuring out what we do exceptionally well and how that shows up in financial results.
Okay, I'll push you harder later. Let's pick up where Anand left off on aerospace. That's a big opportunity, especially with the government's indigenization process. What does that mean for the business going forward?
Sharon, we started this business about 10 years ago. It's very difficult to enter because safety standards are top-notch. In 10 years, we've earned a reputation for quality, delivery, and business excellence, rated among the best in the world. We're punching above our weight. Business is following. In the first 10 years, we won a certain amount; in the last 15-17 months, we've won six times that. We have a huge pipeline. 'Make in India' is a big support. The first C295 assembly line is in India, and a helicopter assembly line is coming. More importantly, we got the contract to be the sole supplier of the entire fuselage for Airbus's fastest-selling helicopter, supplying to all global assembly lines. That's the faith Airbus has in us. We're expanding capacity in our current factory and running out of space. Yesterday, I was with a state minister requesting land for a new modern integrated aerospace factory, where we'll also bring co-vendors to do bigger packages. We started making parts that fit in our palms; now we make assemblies 5 meters long, comprising thousands of parts. The global industry outlook is very bright for the next couple of decades. Running out of capacity is a good problem.
Leave us with headline numbers on capex and capacity expansion.
We're looking at 12x revenue growth. The board has approved close to ₹1,000 crore for capacity enhancement. This will increase capacity for the current factory to cater to new orders and set up the base for the new factory. Investment will keep adding as we get more business.
What about the possibility of more joint ventures? Many are looking at Indian suppliers becoming tier-one suppliers for global supply chains.
As Manoj said, we're open to all ideas and options. There's a possibility of doing packages together. We're strong on the metal side of aerospace structures but don't have composite capability. If someone comes and we can do a package involving both metal and composite, we would be open.
Amar, many are deploying money to enhance capacity. Given the group's ambition, how are you putting guardrails in place for capital allocation?
Before talking about financial deployment, I want to emphasize that it takes a lot of effort to create value and one bad headline to destroy it. That's foremost on my mind. While Anand has set strong processes for capital allocation, we're emphasizing that as we go on this 15x-20x growth, we don't fall into pitfalls. There's a business case for everything. We track how we're doing against the business case, using deviations to learn and pivot if needed. The group operates with boards in all subsidiaries, with corporate nominees driving discipline around capital allocation. Every leader knows there's a strong process for asking. They work hard to get their thousand crores. It's a matter of choices, and you need a strong business case to realize that choice.
Who has made the strongest pitch to you at this point?
All these leaders are here because they've made compelling business cases. The Signature Resort wasn't an easy sell; it's a big change from our comfort zone. Moving into 92% of the market that is underpenetrated requires a lot. The farm business has been generating cash but needs to grow internationally. They've worked hard on a strong business case, learning from past missteps. Each leader has done a great job.
I'll come to VJ on international expansion for the farm sector. But the man we talk to most often after Anand is Raj Jajurikar. Raj, you've been on the channel post-GST cuts. The expectation was that pent-up demand would sustain even after the festive season. What do you see now?
Shireen, the GST provision has been a landmark decision by the government, propelling the economy on a high growth trajectory. Sectors with commercial operators—like tractors and LCVs—see the most tangible benefit. A 10% reduction in selling price impacts total cost of ownership. Combined with lower interest rates, it significantly improves the business case for operators. The benefit continues in SUVs too. We saw a big upswing through the festival period. The post-festival drop is not as steep as usual, attributable to GST momentum. Overall, GST is a game-changer. We've revised our long-term tractor industry forecast from 7% to 9% CAGR, partly due to GST making tractors more affordable versus labor. We see strong growth momentum in all vehicles—passenger vehicles, tractors, and commercial vehicles.
You're right that GST is a structural change. But specifically on the ICE portfolio, you have capacity of about 8,500 cars and are selling around 4,500. What's the expectation on run rate?
We have two new cars coming up, which we'll announce next week. Everyone expected one, but Anand hinted at something else on the 26th evening. So it's two launches on the 26th and 27th. On the EV portfolio, we've learned a lot and calibrated the organization. We were ready with some products but decided to phase them to build learning in the channel and backend. We're ready to ramp up from January onwards. Initial capacity is about 4,000-5,000 a month.
You said two launches on the EV side. What about ICE? Will it largely be a refresh story, or is there something fresh?
On August 15th, we revealed the new INGLO platform, a multi-energy platform. The first products coming in 2027 are ICE products, and they're really exciting. We showed four concepts to the investor group today. If you have time, we'll walk you around.
I'd love that. You're in the market buying a seven-seater yourself, Rajesh. So Nalin, the business looks good.
Business is looking good. Post GST, we've had strong demand sustained through November. We see it on the LCV side, and the replacement cycle has kicked in. That's great for the industry. On the SUV side, we're in mid-to-high teens growth as projected, and we're confident we'll achieve that.
Well, Vijay, let's talk about what's happening on the farm sector side. Rajesh and Anand and Amar mentioned your focus on international markets.
Shireen, our strong domestic position in the tractor business helps us have large aspirations for international growth. With structural changes like GST and increased horticulture and cash crop sowing intensity, farmer profitability is going up by 5-7% in our regression model. These factors account for almost 30% weightage, allowing us to revise our CAGR estimate from 7% to 9% between FY25 and FY30. That gives stronger headroom for domestic growth and fuels international aspirations. Outside India, we have significant presence in three top-five global markets. In North America, a 200,000-unit market, we have a 10.4% share in the under-20 HP segment with our global tractor platform. In Brazil, a 40,000-tractor market, we have 8% share. We recently entered ASEAN through Thailand, taking a cautious approach based on past learnings—going slower, expanding channels, making the right products, and building success. We'll take select markets, go deeper, and ensure all enablers drive growth.
Markets are the ones we will put in place, build success in these three or four markets, and then talk about further expansion into other markets globally. So, by 2030, what could the international contribution be as far as the farm sector is concerned?
Well, you know, like Mo said, I've left my crystal ball back home too. So I don't think I want to give guidance on that, but I think while domestic is our very strong pillar, I would say our play internationally, using technology as a lever to play internationally, one of the aspirations we've set for the farm business is to democratize technology. As part of the aspiration of the business, we would definitely want to be leaders in that area. We will look at a combination of telematics, drones, satellite connectivity, AI, data analysis so that we are able to add value to the farmer. The objective of technology is not to do it just for the sake of it, but make sure that we increase output, reduce cost, and optimize equipment utilization.
Would EV make sense as far as the farm business is concerned? Economically, does it make sense, at least on the lower, smaller side?
Well, that's exactly the point, Shireen. I think our view is that let's understand that tractors and farm machinery are prime movers. So a tractor typically attaches something to it to do a job. And if we look at the typical agricultural application, the implements usage are all heavyweight implements, and the heavier the tractor needs to be to work those implements. You draw more power, you get lower range. So our view is the smaller tractors, which is typically the 20-25 horsepower tractors, just like we've seen in commercial vehicles where three-wheelers had higher adoption. We believe it will first start in the tractor world in the lower horsepower tractors. That's exactly what we are working on. But from an economics point of view, I think we still need to wait and see how that will play out over the next couple.
If I can come back to you on the technology and regulation issue. One of the impending changes as far as the sector is concerned, the new CAFE norms. Of course, industry has been asking for a deferral, at least a postponement, as far as the norms are concerned. But how ready and prepared do you believe Mahindra finds itself if those norms were to come in as per schedule?
Yeah, I think Shireen, here the first question is what are going to be those norms, and right now that's at a draft stage. So there are multiple scenarios that can play out based on what finally comes through as the draft norms. Our role as an OEM, of course, is to advocate for what we believe is the right norm, and we do believe that EVs is a very cornerstone on what the choice of fuel journey should be for the country. So there is a lot of advocacy that we are doing, but that's also the policy statement of the government. So what we have to do as an OEM is really prepare ourselves for multiple scenarios, and that's what we're doing. And we believe based on the SIM, the primary view of the SIM is to stay with the December 2024 draft that was done. There is a different version of a draft now, and the government is in the process of reconciling all the feedback on that. And we would prepare ourselves to meet the CAFE norms based on whatever scenario plays out.
Amita, you know, as far as lifespaces is concerned, the aspiration of being pan-India and more importantly, what's the outlook now as far as the business is concerned?
