Mahindra & Mahindra (M&M) has exited its harvesting-equipment business in Finland and foundry operations in Turkey, while restructuring its Japanese farm-machinery business to rein in overseas losses. At the same time, the company is targeting a 12-fold increase in aerospace revenue by FY30 and aims to capture a 10-12% share of India’s trucks and buses market by FY31.
The moves, disclosed in the automaker’s second-quarter FY27 investor presentation, reflect a sharper focus on capital allocation toward businesses with stronger growth potential, even as the group rationalises overseas operations, grappling with weak demand and profitability pressures.
M&M expects the exits and restructuring measures to reduce international losses in FY27 compared with FY26, although it has not disclosed the financial impact in terms of proceeds, restructuring costs or expected savings.
Overseas farm reset
The restructuring includes the exit from Sampo in Finland and Erkunt Foundry in Turkey, while the turnaround of Mitsubishi Mahindra Agricultural Machinery in Japan is progressing according to plan.
The decisions come amid a slowdown in global tractor demand. Industry volumes fell 15% in North America’s under-110 horsepower segment, 18% in Brazil’s under-120 horsepower category and 36% in Turkey during the first half of FY27.
Despite the market weakness, Mahindra increased its share in North America to 6.8% from 5.7% a year ago, and in Turkey to 6.3% from 5.8%. In Brazil, however, market share declined to 6% from 8.2%.
The company continues to expand its farm-machinery and precision-agriculture businesses. Its farm-machinery segment delivered a 25% compound annual growth rate between FY24 and FY26, while its rotavator market share rose to 21.1%. More than 50,000 telematics kits have also been deployed.
Aerospace expansion
Mahindra Aerospace is targeting a 12-fold increase in organic revenue by FY30, backed by a cumulative order book of ₹11,500 crore.
To support this growth, the company plans to triple manufacturing capacity, expand aerostructure capabilities and deepen relationships with global customers, including through its partnership with Embraer. It is also evaluating acquisition opportunities to accelerate growth.
Trucks and electric mobility
In commercial vehicles, Mahindra is aiming to increase its trucks and buses market share to 10-12% by FY31, from 6.7% in the first half of FY27.
The integration of SML with Mahindra Trucks & Buses has identified cost and synergy benefits of more than ₹100 crore. The company is also developing new commercial vehicle platforms and electric powertrains.
Meanwhile, Mahindra Last Mile Mobility is targeting six-fold revenue growth by FY30, supported by eight planned product launches and a doubling of manufacturing capacity by FY29. Its electric three-wheeler market share stood at 37.6% in H1 FY27.
Real estate and finance
Mahindra Lifespaces aims to achieve annual residential pre-sales of ₹10,000 crore by FY30, supported by a gross development value pipeline of more than ₹50,000 crore. First-half pre-sales surged 66% year-on-year to around ₹2,000 crore.
Mahindra Finance is expanding its AI-led lending, mortgage and insurance businesses. Its Samur.AI platform now processes 75% of loan files, while vehicle-finance disbursements are being routed through the Udaan platform.
The disclosures underline Mahindra’s strategy of curbing losses in underperforming overseas businesses while channeling capital into emerging growth engines across aerospace, commercial vehicles, electric mobility, real estate and financial services.
Published on November 5, 2026
