Q1 FY27 Car Sales Report India’s Passenger Vehicle Market, OEM by OEM (April–June 2026)

At a Glance: Q1 FY27 Passenger Vehicle Market (April–June 2026)

India’s passenger vehicle industry recorded its highest-ever first-quarter performance in Q1 FY27, with domestic dispatches from companies to dealers rising 25.9% year-on-year to 1,273,811 units, up from 1,011,884 units in Q1 FY26, according to SIAM. This surpassed the previous first-quarter high set in Q1 FY25 (1.03 million units). Passenger vehicle exports also hit a record 222,000 units, up 8.8% year-on-year, with SIAM attributing the gain to strong demand from Latin America and improving shipments to Europe and Japan, even as exports to the Middle East remained under pressure from ongoing geopolitical disruption.

OEM-Wise Car Sales Ranking Q1 FY27

Because OEMs disclose Q1 figures on different bases (some report domestic wholesale only, others report domestic plus exports, others report the retail/Vahan figure alongside wholesale), the table below states the exact metric each company disclosed rather than forcing them into a single, potentially misleading, unit. This follows the terminology-precision standard in Section 5.3 of TechyTrends.in’s SEO/GEO guide —wholesale and retail are never presented as interchangeable.

Ranking summary: Maruti Suzuki held the top spot in Q1 FY27 with 682,724 units sold, more than triple the volume of second-placed Tata Motors Passenger Vehicles at 182,574 units. Tata Motors edged narrowly ahead of Hyundai Motor India, whose total sales (including exports) actually declined 1.3% year-on-year to 178,082 units even as its domestic volumes grew 5.4%, a divergence explained by a steep drop in exports amid the West Asia conflict. Mahindra & Mahindra’s SUV-only portfolio placed fourth at 174,745 units, within striking distance of Hyundai despite fielding no hatchbacks or sedans.

Who Gained, Who Lost: Q1 FY27’s Biggest Movers

Fastest-growing major OEM: Tata Motors Passenger Vehicles posted the sharpest year-on-year growth among the top players at 46%, with domestic sales up 45% to 180,166 units. The company’s Vahan-based retail registrations rose 39.5% to 174,299 units, expanding its retail market share to 14.2% from 12.5% a year earlier making it, per Autocar Professional’s analysis of Vahan data, India’s clear second-largest passenger vehicle brand by retail registration in the quarter. Growth was led by the Nexon and Punch (compact SUVs, up 52% YoY to 115,882 units, a 29% share of the compact SUV segment) and incremental volumes from the newly launched Sierra.

Steepest disclosed decline: Hyundai Motor India’s total sales (domestic plus exports) fell 1.3% year-on-year to 178,082 units, the only top-tier OEM in this table to report a year-on-year decline in its headline total. The company attributed this to a fire at a supplier facility that constrained production in June, and to a drop in exports tied to the residual impact of the US-Iran conflict on Middle East shipments; domestic volumes alone still grew 5.4%. Hyundai’s Q1 FY27 revenue came in at approximately ₹163 billion, marginally below the ₹164 billion reported a year earlier, with EBITDA down 31% and net profit down roughly 35% year-on-year.

Biggest surprise: Toyota Kirloskar Motor’s steady mid-single-digit-to-low-double-digit growth (calculated at roughly 10.5% for the quarter) came without the kind of blockbuster single model story driving Tata or Kia’s growth, instead reflecting broad-based demand across its SUV, MPV, and hybrid-heavy portfolio, including continued momentum for the updated Innova Crysta.

Hyundai Motor India: Q1 FY27 Performance in Detail

Hyundai Motor India Limited’s Board of Directors approved the company’s unaudited Q1 FY27 financial results (Standalone and Consolidated) on July 30, 2026. Confirmed points from the release and the company’s own commentary:

• Domestic volumes grew 5.4% year-on-year to 139,374 units, while total sales including exports fell 1.3% to 178,082 units, as exports dropped to 38,708 units.
• A fire at a supplier facility constrained production in June, limiting the quarter’s overall growth despite a stronger April–May run (cumulative April–May sales were up 13% year-on-year before the June disruption).
• Export volumes were separately affected by the residual impact of the US-Iran conflict on Middle East shipments.
• Revenue stood at approximately ₹163 billion, marginally below ₹164 billion in Q1 FY26; EBITDA fell 31% year-on-year, and net profit dropped roughly 35% year-on-year to approximately ₹8.88 billion (₹888 crore).
• The Venue recorded its best-ever quarterly domestic sales.
• CNG contribution rose to 18% of Hyundai’s overall mix, with the Aura reaching 95% CNG contribution and the Exter reaching 32%, both described as highest-ever levels for those models.
• Rural market penetration hit an all-time high of 26%.
• 2026 also marks 30 years of Hyundai’s presence in India.

Tarun Garg, Managing Director & CEO, Hyundai Motor India, described Q1 FY27 as a challenging quarter affected by multiple headwinds impacting volumes and profitability, while stating that with production now fully normalised, the company expects recovery to gain pace from Q2 onward and reaffirmed guidance of 8–10% year-on-year volume growth and 11–14% EBITDA margin for FY27 overall.

What this means: Hyundai’s Q1 FY27 headline total is the one clear year-on-year decline among the major OEMs in this ranking, but the company’s own framing places the blame squarely on a one-off supply disruption and export headwinds rather than weakening demand supported by domestic volumes still growing 5.4% and the Venue’s record quarter. Whether that recovery materialises as guided will be the key data point to track in the Q2 FY27 edition of this report.

Segment-Wise Breakdown Q1 FY27

SIAM’s data confirms utility vehicles continued to be the dominant force in Q1 FY27, extending their share of total PV wholesale to 68% from 66% a year earlier a two-percentage-point gain even as the overall market grew a record 25.9%. Hatchbacks and sedans, grouped together in SIAM’s release, still grew a healthy 21.3% year-on-year to 367,549 units, a reversal from the roughly 11% year-on-year decline this combined segment posted in Q1 FY26, which industry commentary has linked to the GST 2.0 rate revision’s effect on entry-level and mid-size car demand. Within the UV category, compact SUVs hit a fresh quarterly high of 397,609 units, with Tata Motors’ Nexon and Punch commanding a 29% share of that sub-segment alone.

Wholesale vs Retail: What the Gap Tells Us

The clearest wholesale-vs-retail data point available for Q1 FY27 so far is Tata Motors’, where Vahan-sourced retail registrations of 174,299 units grew 39.5% year-on-year a slightly slower pace than the company’s own reported wholesale/total-sales growth of 46%, suggesting a modest, not alarming, build in channel inventory rather than a wholesale figure running well ahead of genuine retail demand. A full industry-wide wholesale-versus-retail comparison requires FADA’s compiled quarterly retail data, which is not yet available.

EV Share of the Car Market Q1 FY27

A full EV-specific figure for Q1 FY27 as a whole was not confirmed in the data gathered for this report. One available data point: JSW MG Motor India registered 31,741 electric passenger vehicles during the broader January–June 2026 half-year window, up 18% year-on-year, according to FADA though this covers two full quarters, not Q1 FY27 alone, and should not be read as MG’s Q1-specific EV figure. Tata Motors’ own Q1 FY27 EV sales (34,467 units, up 112% year-on-year) are a more directly comparable single-OEM data point for the quarter.

What This Means for Buyers, Dealers, and Investors

For buyers: With utility vehicles now accounting for 68% of the market and compact SUVs at a record high, competition in the SUV segment specifically is intensifying, which has historically translated into stronger discounting and feature-per-lakh competition in that segment. Hyundai’s supplier-fire-related production constraint is worth watching for buyers specifically interested in Hyundai models, given the company’s own guidance that recovery is expected only from Q2 onward.

For dealers: Tata Motors’ retail growth (39.5%) running close to but modestly behind its wholesale/total-sales growth (46%) is a gap worth monitoring in the following month’s FADA data, since a widening gap would point toward inventory build-up requiring a stocking response.

For investors: Hyundai’s Q1 FY27 results show a company explicitly attributing weaker headline growth to a temporary, supplier-side production disruption rather than a demand-side problem, with management reaffirming full-year guidance a distinction investors tracking the stock would weigh differently than a genuine demand slowdown. Tata Motors’ combination of wholesale growth, retail growth, and market share gains across the quarter is a more unambiguously positive investor signal among the OEMs covered here. [Framed as market observation, not investment advice.]

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