India's Eicher Motors, which makes the Royal Enfield brand of motorcycles, reported third-quarter profit and margins below estimates on Monday, hurt by higher costs and as sales of lower-margin motorcycles outpaced those of higher-margin ones.

Following Q3FY25 results, Eicher Motors’ stock dropped nearly 7% as Goldman Sachs lowered its target price. The company reported an 18% increase in net profit to ₹1,170 crore and revenue surged by 19%,

Shares of Eicher Motors dropped nearly 7% on Tuesday as the Royal Enfield motorcycle maker's heavy spending on new launches hurt profit margins, with analysts expecting the company's focus on growth to keep the pressure on profitability.