Hero Motocorp business update
Last updated: 20 Nov, 2020 | 11:55 am
- Hero Motocorp has announced robust festive season sales. Hero MotoCorp sold more than 14 lakh units of motorcycles and scooters, in retail sales during the just concluded festive season.
- The good retail off-take during the 32-day festival period (from first day of Navratra and the concluding day after Bhai Duj (November 16) ) – was 98% of the festive season volumes sold by the Company in the previous year (2019) and 103% compared to the same period in 2018. This was achieved despite the disruptions caused by Covid-19.
- This has enabled Hero MotoCorp to reduce the vehicle stocks at its dealerships to less than four weeks, the lowest ever post-festive inventory. The Company’s festival season retails were driven by the strong performance of its popular models across segments, including the 100cc Splendor+ and HF Deluxe, 125cc motorcycles Glamour and Super Splendor and the Xtreme 160R and the XPulse range in the premium segment.
- Continuing the path of recovery from the zero sales in April, Indian two-wheeler manufacturers have now surpassed pre-Covid level sales in the last two months, thanks to the festive season.
- Hero MotoCorp sold 8.06 lakh units of motorcycles and scooters in October 2020 – its highest-ever sales in any single month.
The timely arrival of the south-west monsoon, combined benefits of a record Rabi crop, Government support for Agri initiatives and very good progress in the sowing of the Kharif crop led to positive sentiments in the rural areas over the past few months, aiding recovery for Hero Motocorp. Nearly half of Hero’s domestic sales comes from rural India. The robust sales have helped Hero MotoCorp to expand its market share by more than 500 bps in the month of October. Going forward, Hero Motocorp is bullish given the positive forecast by the International Monetary Fund (IMF) projecting close to double-digit growth for the Indian economy in FY’22 The slew of recent measures announced by the Government should also help accelerate recovery and aid core sectors to rebound fast.