Mechanically, the Mahindra Gusto 125 uses a 124.6cc M-TEC engine with MCDi technology that now produces 8.5bhp of power at 7000rpm and 10Nm of torque at 5500rpm. The engine is mated to a CVT gearbox. The slightly more powerful Gusto also gets telescopic front forks and hydraulic shocks at the rear, while stopping power comes from 130mm front and rear drum brakes. A front disc brake equipped version is said to be in the pipeline. Compared to the Gusto 110, the new version also gets 12-inch alloy wheels. Other features remain standard on the Mahindra Gusto 125 including LED pilot lamps, folding key, height adjustable seat, find-me lamp among other bits. Differentiating the model will be the four new colours from the Gusto 110 including Orange Rush, Bolt While, Monarch Black and Regal Red.