TVS Motor’s credit ratings reaffirmed, preference shares assigned new rating

TVS Motor Company Limited announced on September 6, 2025, that CARE Ratings Limited has reaffirmed its credit ratings for various instruments and assigned a new rating for non-convertible redeemable preference shares. Long-term bank facilities totaling ₹2,500.00 crore were reaffirmed at CARE AA+; Stable. Long-term/short-term bank facilities of ₹550.00 crore were also reaffirmed at CARE AA+; Stable / CARE A1+. Short-term bank facilities worth ₹608.00 crore and commercial paper of ₹500.00 crore were reaffirmed at CARE A1+.

Additionally, non-convertible debentures of ₹300.00 crore and ₹25.00 crore were reaffirmed at CARE AA+; Stable. Non-convertible redeemable preference shares totaling ₹1,900.35 crore received an assigned rating of CARE A1+.

The ratings reflect TVS Motor's strong business risk profile, established position in the two-wheeler segment with improving market share in both internal combustion engine (ICE) and electric vehicle (EV) categories, and robust financial risk profile supported by strong debt coverage metrics and liquidity. The company’s overall market share in the two-wheeler segment improved to 19.4% in FY25, up from 18.9% in the prior year, with EV market share increasing to 20.7% in FY25 from 19.3%.