Maruti Suzuki India Ltd, the country’s leading automobile manufacturer, has projected a 10% growth in small car sales for the second half of FY25, as it strengthens its position in the compact vehicle segment. The company also reiterated its goal of achieving a 50% market share in the Indian passenger vehicle market by FY31, driven by sustained demand, export momentum, and margin stability.
Small Car Focus and GST Impact
According to Chairman RC Bhargava, around 70% of Maruti Suzuki’s total sales are expected to fall under the 18% GST slab, underscoring the company’s continued emphasis on the small car category. Bhargava highlighted that limited competition in this segment provides Maruti with a clear advantage as most other manufacturers have shifted focus toward SUVs.
Profitability and Margins
The automaker expects its profit margins to remain stable around 10.50%, supported by strong consumer demand and a gradual reduction in discounts. Persistent waiting periods for several models reflect sustained market interest and robust order books.
Strengthening Export Performance
Maruti Suzuki’s export portfolio continues to grow, with several models seeing significant international traction:
| Model | Export Highlights |
| Baleno | Steady rise in global demand |
| Fronx | Strong export volumes to Japan |
| Jimny | Increased shipments to Japan |
| e-Vitara | About 7,000 units shipped overseas |
These developments indicate growing acceptance of Maruti’s products in international markets and align with its broader global expansion strategy.
Market Share Ambition
The company aims to secure a 50% share of India’s passenger vehicle market by FY31, a milestone it believes could be achieved earlier if demand for compact cars continues to rise. Maruti’s leadership in affordable mobility and efficient production processes is expected to play a key role in reaching this target.
Investor Engagement
Maruti Suzuki held an investor call on October 31, 2025, to discuss financial results for the quarter ended September 30, 2025. The transcript of the discussion has been published on the company’s official website, reinforcing its commitment to transparency and regular communication with stakeholders.
Summary:
Maruti Suzuki projects 10% growth in small car sales for H2 FY25, with 70% of total sales expected under the 18% GST slab. The company anticipates profit margins around 10.5% and continues to strengthen exports with strong demand for models like the Baleno, Fronx, Jimny, and e-Vitara. Aiming for a 50% market share by FY31, Maruti Suzuki remains focused on expanding its leadership in the small car segment amid limited competition.
Disclaimer:
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
Investments in securities markets are subject to market risks. Please read all related documents carefully before investing.