How Mahindra Surged 247% – Told in 6 Charts
Mahindra & Mahindra Ltd has surged 247% over the past 3 years, translating to an impressive compounded annual growth rate (CAGR) of 51.4%!
At the consolidated level, M&M generates 59% of its revenue from the Auto segment, largely led by utility vehicle (UV) sales, and 18% from the Farm Equipment Services (FES) segment, primarily driven by tractor sales. The remaining revenue comes from its financial services, industrial, and consumer services businesses. In terms of profit contribution, the Auto segment accounts for 54% of consolidated profits, FES contributes 24.3%, with the rest coming from other segments.
Refer to the charts below to see what’s fueling the price increase.
Within the Auto segment, a key growth driver has been the company’s rising market share in the passenger UV category—from 13.6% in September 2021 to approximately 20% by March 2025. In addition, the company has seen a consistent increase in realisation per vehicle, highlighting its pricing power in the SUV segment. These two factors have played a pivotal role in driving the Auto segment’s EBIT margins above 9% for the past two years.
In the tractor segment, M&M has consistently maintained a market share in the low 40s. Despite the cyclical nature of the market, the company has managed to increase realisations by 1.6 times over the last three years. This strong pricing performance has enabled M&M to sustain EBIT margins in the teens, even in the face of raw material cost inflation.
Mahindra & Mahindra’s stellar stock performance over the past three years is underpinned by strong fundamentals and operational excellence across its core segments. The company’s ability to expand market share in the high-growth UV segment, maintain leadership in the tractor market, and command higher realisations despite cyclical and cost pressures reflects both strategic clarity and execution strength. With sustained improvement in segment-level profitability and market positioning.
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