Mercedes-Benz India achieves its best-ever fiscal year sales in FY2025-26, with the top-end luxury segment growing 16% and contributing 27% to total volumes.
Battery electric vehicles gain significant momentum, with top-end EVs priced above Rs 1.4 crore registering an 85% surge during the same period.
Mercedes-Benz India has wrapped up FY2025-26 on a historic note, retailing 19,363 units over the fiscal year. This represents a 2.30% growth over the 18,928 units sold in FY2024-25, and stands as the brand's highest-ever annual sales tally in the country. The performance reflects a deliberate shift in strategy, one that prioritises premium and high-value offerings over volume-driven entry-level products.
Q1 CY2026 Sales Up 7.46% Year-On-Year, Ahead of Competition
In the January to March 2026 quarter, Mercedes-Benz India sold 5,131 units, up 7.46% compared to 4,775 units in Q1 2025. The brand maintained consistent demand across both its newly launched models and its existing portfolio, finishing the quarter ahead of rival BMW India, which sold 4,354 cars in the same period.
Mercedes-Benz India Q1 Sales Trend (CY2013 to CY2026)
| Quarter | Sales | YoY Diff | % Change |
|---|---|---|---|
| Q1 2026 | 5,131 | +356 | +7.46% |
| Q1 2025 | 4,775 | -637 | -11.77% |
| Q1 2024 | 5,412 | +715 | +15.22% |
| Q1 2023 | 4,697 | +675 | +16.78% |
| Q1 2022 | 4,022 | +829 | +25.96% |
| Q1 2021 | 3,193 | +807 | +33.82% |
| Q1 2020 | 2,386 | -1,499 | -38.58% |
| Q1 2019 | 3,885 | -671 | -14.73% |
| Q1 2018 | 4,556 | +906 | +24.82% |
| Q1 2017 | 3,650 | +28 | +0.77% |
| Q1 2016 | 3,622 | +56 | +1.57% |
| Q1 2015 | 3,566 | +1,012 | +39.62% |
| Q1 2014 | 2,554 | +545 | +27.13% |
| Q1 2013 | 2,009 | — | — |
Top-End Luxury Segment Grows 16%, Contributes Over A Quarter Of Total Sales
The brand's top-end luxury segment, which covers the S-Class, Maybach range, AMG lineup, and EQS SUV, recorded a 16% growth in FY26 and accounted for 27% of total sales.
Demand for these high-value models remains remarkably strong, with waiting periods extending up to 12 months for select vehicles such as the AMG G63 and Maybach S-Class. This clearly signals a shift in buyer choice towards aspirational, higher-priced products rather than accessible entry-level offerings.
Electric Vehicles Make A Meaningful Contribution In The Premium Space
Battery electric vehicles have carved out a notable share within the top-end luxury segment. BEVs accounted for 20% of total top-end luxury sales in FY26, while EVs priced above Rs 1.4 crore registered an impressive 85% growth over the same period.
The EQS SUV was the highest-selling electric model in the brand's Indian portfolio, underlining growing acceptance of luxury EVs among Indian buyers.
Core Segment Models Hold Steady As New Launches Add Momentum
Mercedes-Benz India's core segment continued to contribute meaningfully to overall volumes. The C-Class, E-Class LWB, GLC, and GLE SUVs all saw steady demand, with the E-Class LWB retaining its position as the best-selling luxury sedan in India. The recently launched V-Class has also received a strong initial response from buyers.
On the performance front, Mercedes India introduced two new AMG models during this period, the AMG A45 S Aero Track Edition priced at Rs 87 lakh and the AMG GLE 53 Coupe Performance Edition at Rs 1.52 crore (ex-showroom).
Both models target performance-oriented buyers and broaden the AMG portfolio in India.
Entry-Level Segment Declines 18% As Brand Stays Focused on Value Strategy
Not all segments moved upward. The entry-level luxury segment saw an 18% decline in FY26. The brand, however, has not shown concern over this, as it continues to pursue a value-driven approach rather than chasing volume through aggressive pricing at the lower end of the market.
Network Expansion And Product Pipeline For 2026
Looking ahead, Mercedes-Benz India has outlined an ambitious product offensive for 2026, with multiple launches planned across both ICE and electric segments. The CLA EV is among the most eagerly anticipated, scheduled for launch on April 24, 2026.
On the retail side, the brand plans to open new outlets in cities such as Visakhapatnam, Varanasi, and Goa, while expanding its existing presence in Pune and Mumbai. More than 20 luxury outlets are expected to be added in 2026, backed by investments of over Rs 450 crore from franchise partners.
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