Bajaj Auto Unveils Rs 5,633 Crore Share Buyback Plan at Rs 12,000 Per Share Through Tender Offer.

Bajaj Auto has announced a significant share buyback valued at Rs 5,633 crore, following a board meeting on Wednesday. The company plans to repurchase up to 46.94 lakh fully paid-up equity shares at a price of Rs 12,000 per share, which constitutes approximately 1.68% of its total equity shares. In addition to this buyback initiative, the board also approved a robust dividend of Rs 150 per share for the financial year ending on March 31, 2026. The record date for determining eligible shareholders for this dividend has been set for Friday, May 29. Collectively, Bajaj Auto will allocate up to Rs 9,825 crore for both the buyback and dividend, as stated in a filing with the exchanges.

The company’s financial performance in Q4 FY26 underscores a remarkable growth trajectory, with standalone net profit soaring to Rs 2,746 crore, representing a 34% year-over-year increase from Rs 2,049 crore. Revenue from operations for the same period experienced a robust 32% growth, rising to Rs 16,006 crore from Rs 12,148 crore in the corresponding quarter of the previous financial year. The growth was evident on a sequential basis as well, with the bottom line increasing by 10% over the previous quarter. The Earnings Before Interest, Taxes, Depreciation and Amortisation (EBITDA) for Q4 FY26 also demonstrated significant improvement, reaching Rs 3,323 crore, a 36% increase from Rs 2,451 crore in the same period last year, contributing to an EBITDA margin of 20.8%.

Driving this impressive performance, Bajaj Auto benefited from a 24% year-over-year increase in volumes, which totaled 13.71 lakh units. This marked a sequential increase of 2%, with domestic volumes surging by 24% year-on-year to over 7.60 lakh units, while export volumes rose by 25% to 6.10 lakh units. On a consolidated basis, the company reported a substantial 47% year-over-year increase in profit after tax (PAT) for FY26, amounting to Rs 10,744 crore, with revenue also reflecting a strong 23% uptick at Rs 62,905 crore. These figures suggest a resilient operational strategy, positioning Bajaj Auto favorably in the competitive two-wheeler market.

Source: The Economic Times

(Expert Note: This report was prepared by the Wealthova team.)