Ashok Leyland Limited — Updates, 26-03-2025: Press Release

Switch Mobility Limited, a stepdown subsidiary of Ashok Leyland, is considering the potential cessation of its manufacturing operations at the Sherburn facility in the UK due to ongoing economic uncertainties and a slower-than-expected transition to electric vehicles (EVs) in public transport. The company plans to consult with employees regarding this decision while ensuring that all current orders are fulfilled and aftermarket support for existing vehicles is maintained.

Conversely, Switch India is poised to capitalize on the rapidly growing Indian EV market, expecting significant growth with an aim to achieve EBITDA breakeven in FY25 and triple its volumes in FY26, bolstered by over 1,800 e-Bus orders. The company holds an impressive 80%+ market share in the e-LCV segment for 2-3.5T vehicles, with projections of 50-80% volume growth in FY26.

The potential cessation in the UK is expected to reduce losses and will be supported by a previously approved equity infusion of GBP 45 million. Overall, the focus on the Indian market presents a positive outlook for Ashok Leyland, suggesting substantial value accretion from its EV ventures.