New Delhi, June 3 -- The automobile companies reported strong operating performance in the fourth quarter of FY26, led by cuts in the Goods & Services Tax (GST), with profitability beating estimates despite commodity headwinds, analysts said.

The OEMs reported 22% year-on-year (YoY) volume growth in Q4FY26, led by strong two-wheelers, Passenger Vehicles (PV), and Commercial Vehicles (CV) segments along with tractors - partly due to subsidy in Maharashtra.

According to Kotak Institutional Equities, aggregate revenue of auto OEMs, excluding Tata Motors Passenger Vehicles, grew 24.1% YoY in the March quarter, driven by more than 20% YoY increase in the tractors, LCV, two-wheelers and MHCV segments' volumes, and teens growth in the PV and L...