Key Metrics of VE Commercial Vehicles (Eicher)
About VE Commercial Vehicles (Eicher)
Sectors
Company details
- Website
- vecv.in
Operational Areas of VE Commercial Vehicles (Eicher)
Company summary
Entity details
Compliance
Industry classification
Financials, ratios and risk analysis
Revenue, EBITDA, net profit, net worth, debt and assets for every filing year, 15+ ratios, the financial health score, shareholding, charges and peer comparison are part of the premium plan.
Sign in to continue See plans & pricingFiling compliance
Due dates follow the Companies Act: AGM within six months of the year end, AOC-4 within 30 days and MGT-7 within 60 days of the AGM. A filing made but not yet uploaded here shows as pending.
Vendor checks & payment capacity
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Credit ratings
Rating history
Rating actions
| Date | Agency | Action | Long term | Short term | Outlook | Rated amount | Rationale |
|---|---|---|---|---|---|---|---|
| 03 Aug 2026 | ICRA | Reaffirmed | AA+ | A1+ | Stable | ₹960 Cr | View |
Credit strengths (ICRA, Aug 2026)
+ Strong parentage provides access to technical and operational support
VECV is a JV between Eicher Motors Limited (EML, 54.4%) and AB Volvo, Sweden (Volvo, 45.6%).
+ Comprehensive product portfolio across goods and passenger carrier segments; strong brand equity in the medium-duty truck segment
VECV has a comprehensive product portfolio, with a strong presence across the goods and passenger carrier segments.
Credit challenges
− Significant cyclicality and high competition in domestic CV market; earnings susceptible to rise in commodity prices
The CV industry remains inherently cyclical in nature, with the industry volume strongly correlated to the level of economic activity.
Could lead to an upgrade
ICRA could upgrade VECV’s long-term rating, if there is a material scale-up in operations and strengthening of the business profile, accompanied by a sustainable and meaningful gain in market share. The company's ability to maintain robust credit metrics and profitability indicators will also be considered favourably for a rating upgrade.
Could lead to a downgrade
ICRA could downgrade VECV’s ratings, if a prolonged weak demand environment for CVs leads to sustained deterioration in the financial risk profile. A specific credit metric for a downgrade will be total debt/OPBITA above 1.0 times, on a sustained basis, alongside a material depletion of cash and cash equivalents. Additionally, any weakening in the parent companies’ credit profile or group linkages could exert pressure on the ratings. www.icra.in Sensitivity Label : Public Page |3
Agency-reported financials (ICRA, 03 Aug 2026)
| Metric | FY2025 | FY2026 |
|---|---|---|
| Operating income | ₹23,548 Cr | ₹27,077 Cr |
| PAT | ₹1,286 Cr | ₹1,467 Cr |
| OPBDIT/OI | 8.6% | 9.2% |
| PAT/OI | 5.5% | 5.4% |
| Total outside liabilities/Tangible net worth (times) | 1.50× | 1.50× |
| Total debt/OPBDIT (times) | 0.10× | 0.20× |
| Interest coverage (times) | 70.80× | 51.00× |
| Revenue growth (YoY) | — | 15.0% |
| EBITDA (margin × income) | ₹2,025 Cr | ₹2,491 Cr |
| Implied total debt (debt/EBITDA × EBITDA) | ₹203 Cr | ₹498 Cr |
| Implied interest cost (EBITDA ÷ coverage) | ₹28.60 Cr | ₹48.84 Cr |
Borrowings & rated debt
Facility mix
Rated facilities
| Facility | Type | Previous | Current | Change | Rating | Action | Agency |
|---|---|---|---|---|---|---|---|
| based | Other | ₹525 Cr | ₹505 Cr | −3.8% | AA+ / A1+ (Stable) | Reaffirmed | ICRA |
| based | Other | ₹75.0 Cr | ₹107 Cr | 42.7% | AA+ / A1+ (Stable) | Reaffirmed | ICRA |
| based/non-fund based Long-term/short-term | Non-fund based limits | ₹325 Cr | ₹300 Cr | −7.7% | AA+ / A1+ (Stable) | Reaffirmed | ICRA |
| Unallocated limits | Other | ₹35.0 Cr | ₹48.0 Cr | 37.1% | AA+ / A1+ (Stable) | Reaffirmed | ICRA |
Credit assessment · Commercial vehicles
Rating Methodology – Commercial Vehicles (Sep 2026) · Standalone accounts · FY 2025-26
Ratios, pillar scores and the indicative rating are part of Premium.
Rating status
| Default | No default on record |
| Issuer cooperation | Cooperating |
| Credit enhancement | None – standalone rating |
| Next action stable or better (model) | 89% |
| Information on file | 44% · missing: Annual results history (3+ years), Debt obligations and repayment schedule, Capex / investment plans, Auditor details, Shareholding pattern |
Indicative assessment from public data using the published methodology factors; not a credit rating.
Borrowing & funding lifecycle
- Credit outlook model: 86% chance the next rating action is stable or better
- Current rating AA+ (investment grade)
- Interest coverage 51×
- ₹48 cr of rated limits not yet tied to a lender
Rated limits by facility
Timeline
From the report
Liquidity position: Superior VECV’s liquidity position is superior, aided by the expectation of healthy cash flow generation from operations of Rs. 2,000 - 2,500 crore p.a., sizeable liquid investments and unencumbered cash balances of Rs. 4,239.8 crore as on March 31, 2026 , and undrawn working capital limits of Rs. 1,277.5 crore as on March 31, 2026.
Lender names, bank charges and audited borrowings are part of Premium.
Built from MCA charges, ICRA/CARE rating reports and audited accounts. The borrowing view is an estimate, not a lender's credit decision.
Registered office and contact
Directors and key people
Directors are read from the MGT-7 annual return and AOC-4 signatories.
Competitors of VE Commercial Vehicles (Eicher)
Top competitors by location
| Company | Description | Domain | Founded | Location |
|---|---|---|---|---|
 Tata Motors |
Outlets operated by Sri Lakshmi Motors. | tatamotors.com | 1945 | Mumbai, India |
 Ashok Leyland |
Commercial Vehicles & Buses · Automobile Manufacturers | ashokleyland.com | 1948 | Chennai, India |
 Force Motors |
Commercial Vehicles & Buses · Automobile Manufacturers | forcemotors.com | 1958 | Pune, India |
| Commercial Vehicles & Buses · Automobile Manufacturers | smlisuzu.com | — | India | |
 AJAX Engineering |
Part of Fiori Group. | ajax-engg.com | 1992 | Bangalore, India |
| Part of Ashok Leyland. | switchmobilityev.com/en | — | Karnataka, India | |
 Ud Trucks India Private Limited |
Part of Isuzu. | udtrucks.com | — | Karnataka, India |
 Daimler Truck Innovation Center India Private Limited |
Commercial Vehicles & Buses · Community, personal and Social Services | daimlertruck.com/career/locations/location-detail-page-366989.html | — | Bangalore, Karnataka, India |
| Part of Daimler Truck. | bharatbenz.com | — | Oragadam, India | |
| Gears, Steering, Brakes & Systems · Auto Components, Forging & Casting | bharatbenz.com | — | India |
Similar companies
Charges (secured borrowings)
0 registered charges. Lenders, amounts and dates are part of the premium plan.
Statutory auditors
Auditors are read from the AOC-4 auditor's report section.
Business activities and related parties
Trucks, buses and engines
Filings
No filings on record yet.