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HMIL’s Vision 2030: Plans 26 launches with hybrid focus

Hyundai Motor India (HMIL) held its first-ever investor day in India following its listing, outlining long-term aspirations for the next 5 years. HMIL is poised for healthy growth, driven by a strategic product pipeline of 26 launches (including 8 new nameplates) by FY30, with a strong focus on hybrids and eco-friendly vehicles, targeting 52% of its portfolio. The company aims to outperform domestic industry volume growth of 5.2% with 7% volume CAGR over FY25-30E and expand its market share to over 15% by FY30, up from 14.4% in 1HFY26. Exports remain a priority, with a target to increase their contribution to 30% of total production by 2030, compared to approximately 21% in FY25. Supported by an INR 450bn investment between FY26 and FY30 (supported by internal accruals), a slew of new launches, a higher UV mix (80% in FY30 vs. 69% in FY25), and increased exports, HMIL projects revenue to exceed INR 1,000bn by FY30, up from INR 692bn in FY25. The company has guided for an EBITDA margin of 11-14% and dividend payouts of 20-40%. We have revised our revenue estimates upwards by 1% / 3% for FY26E / FY27E from our previous estimates. We change our rating from BUY in our previous rating system to ADD in the new rating system, with a Mar’27 TP of INR 2,560 (26x FY27E EPS).

* Slew of new launches across powertrains, with a focus on hybrids: HMIL plans 26 launches by FY30, including 7 new nameplates, facelifts and derivatives, with a clear tilt toward hybrids (8 models across multiple segments) compared to EVs (5 models). The company sees hybrids as the ideal middle ground, offering superior fuel efficiency without range anxiety. It will also diversify into MPVs and off-roaders, aiming for 52% of its portfolio to be eco-friendly. Other key announcements include an all-new Venue (details post-Diwali), its first localised EV for India, and the Genesis brand debut in 2027, with significant volume expansion targeted by 2032.

* Domestic business: HMIL expects domestic industry volumes to grow at 5.2% CAGR from FY25 to FY30. It aims to outperform the market with 7% volume CAGR during the same period, targeting a domestic market share of over 15% (up from 14% in FY25). Additionally, it anticipates its UV share to rise from 69% in FY25 to 80% by 2030.

* Continued focus on exports: HMIL continues to prioritise exports, which yield 6% higher ASP than domestic sales. In light of stronger revenue and profitability from exports, the company targets exports to contribute 30% of total production by 2030, up from 21% in FY25. Of this, 50% is expected from the Middle East & Africa, 40% from Central and South America, and 10% from Asia Pacific. By 2030, India is projected to account for 15% of HMIL’s global volume, becoming its second-largest region by sales volume (up from third currently).

* Guidance: HMIL plans to invest INR 450bn between FY26 and FY30, with 60% allocated to product development and R&D, and 40% to capacity expansion and upgrades, supported by internal accruals. It has projected revenue to grow from INR 692bn to over INR 1,000bn by FY30 (translating into a CAGR of 7.6%), with an EBITDA margin of 11–14%. Dividend payouts are expected to remain ~20-40%.

* Capacity and dealer network: 1) Capacity: Pune plant capacity is expected to reach over 250,000 units by 2028, up from 170,000 currently, making India account for 20% of Hyundai’s additional global capacity. 2) Dealer network: HMIL plans 7 out of 10 new expansions in rural areas. It aims for 85% district coverage, 30% contribution from rural sales, and 15% network share by FY30.

* Other Highlights: 1) Hyundai Capital is set to launch in three phases, with Phase 1 beginning in 2Q CY26 focused on wholesale financing (inventory finance and working capital). Phase 2 will introduce retail offerings including loans, leases, and rentals, followed by Phase 3, which will expand beyond automotive. 2) HMIL is also exploring micromobility in partnership with TVS for electric three-wheelers (E3W). 3) Localisation: 82% of production is currently local and HMIL plans to increase it to over 90% by 2030. Further, it is working on localising the entire EV supply chain. Phase 1 focuses on localising EV assembly, while Phase 2 will focus on deep supply chain localisation. 4) Mr Tarun Garg will succeed Mr Unsoo Kim as the MD and CEO w.e.f. 1 st Jan’26.

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