Bajaj Mobility AG Reports 2025 Turnaround and Strengthened Financial Position Following Restructuring

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Image Courtesy: Bajaj Mobility AG

Bajaj Mobility AG has reported its financial results for 2025, highlighting a strong operational recovery in the second half of the year and a significantly improved financial position following extensive restructuring measures. The company recorded revenue of EUR 1.009 billion and total sales of over 209,000 units during the year. Earnings performance showed a marked improvement, with EBITDA reaching EUR 874 million and net profit at EUR 590 million. The turnaround was particularly evident in the second half of the year, when retail sales increased by approximately 60 percent compared to the first half.

A key focus throughout 2025 was financial reorganisation, including measures to streamline operations, reduce inventory, and strengthen liquidity. Inventory levels were reduced substantially, contributing to improved operational efficiency and cost control. At the same time, net debt declined significantly, while the equity ratio increased, reflecting a stronger balance sheet.

The company also completed major refinancing initiatives to support future growth. A new unsecured loan facility of EUR 550 million was secured from a consortium of international banks, replacing higher-cost existing debt and enhancing financial flexibility. Additional funding arrangements were established to support working capital requirements.

As part of its strategic realignment, Bajaj Mobility AG sharpened its focus on its core motorcycle business, divesting non-core assets and streamlining its portfolio. This move is expected to support long-term profitability and operational clarity.

The company also achieved a record year in motorsports, securing 29 championship titles across its brands, reinforcing its technological leadership and global brand strength. Early 2026 performance indicators suggest continued momentum, with strong customer response to new product launches and increased sales volumes.

Looking ahead, the company has outlined a clear strategy for 2026 focused on improving profitability through efficiency gains, streamlined operations, and targeted product innovation. New motorcycle models and expanded warranty offerings are expected to enhance customer engagement and strengthen market positioning.

Management noted that the combination of financial discipline, operational restructuring, and product innovation has created a solid foundation for sustainable growth. With improved liquidity and a sharper strategic focus, Bajaj Mobility AG aims to build on its recovery and deliver long-term value in the global premium motorcycle market.

Bajaj Mobility AG, formerly PIERER Mobility AG, is a global manufacturer of premium motorcycles and a listed subsidiary of Bajaj Auto Limited. Through KTM AG, the company manages well-known motorcycle brands serving riders in more than 70 countries.

Headquartered in Austria, Bajaj Mobility AG focuses on performance motorcycles, street and off-road models, and racing technologies, supported by Bajaj Auto’s engineering expertise and worldwide distribution network. The refinancing marks an important step in strengthening KTM AG’s balance sheet and supporting its long-term growth plans in global motorcycle markets.