Indian Bike Sales Figures for October 2011

Hero MotoCorp. the World’s No. 1 two wheeler company has posted growth of 1.35% in the month of October 2011 compared to October 2010.  The company has sold 5,12,238 units of two wheeler in the month of October 2011 compared to 5,05,553  units of two wheeler sold in the month of October 2010. This is by far company’s highest ever sales till the date. On the month on month basis the sales is down by 8.02%. The company sold 5,49,625 units in the month of September 2011.  Hero Honda Pleasure is continuously crossing 35,000 units a month mark. The company has reported sales of35,86,190 units for the period of April to October 2011 up by 18.53% compared to 30,25,506 units during the same period last year.

Commenting on October month figure Hero MotoCorp Senior Vice-President (Marketing and Sales) Anil Dua said, “”We have been reaching new milestones this fiscal and the highest ever October retail sales is no exception. We are delighted with the response of the customers this festival season.” The company reported over 6.5 lakhs units retails sales two wheelers in October month which is highest ever in the company history. The previous record is of 6 lakh units’ retail sales in the October 2008.

The first six months figure suggest that the company will easily achieve its 6 million units target if not exceed it. The company is also looking for establishing fourth plant which will become operational by second half of financial year 2012-13. Beside this the company is looking to expand its present capacity of 6.15 million units to 7.0 million units.

Bajaj Auto

Country’s second largest two wheeler maker, Bajaj Auto has reported growth of 6.46% in the month of October 2011. The company has sold 3,51,083 units of motorcycle in the month of October 2011 compared to 3,29,778 units in the month of October 2010. This is by far company’s highest ever monthly sales for October month in company’s history. The company lost production of 25,000 units of motorcycle due to curfew conditions at its Pantnagar plant. The company exported 1,31,948 units in the month of October 2011 up by 19.53% compared to 1,10,387 units in the month of October 2010.

On the month on month basis sales is down by 5.42%. The company sold 3,71,208 units in the month of September 2011. The company’s total sales stood at 3,95,274 units in the month of October 2011 up by 6.60% compared to 3,52,679 units in the month of October 2010. The company’s retail sales stood at 3,25,000 units of two wheeler. Pulsar and Discover did about 80,000 and 1,50,000 units while Boxer BM 150 did over 10,000 units. The company has sold 23,41,491 units of two wheeler during April to October 2011 period up by 14.69% compared to 20,41,661 units sold during the same period last year. Combined sales of brand Pulsar have crossed 5 million marks which is remarkable for Bajaj Auto.

The company is aiming to sale 4.6 million units in this financial year with 4.1 million units of motorcycle.  The company is aiming to sale over a million units of Pulsars and 1.7 million units of Discover in the financial year 2011-12. The half year figure suggest that the company may do 4.5 million units in total which is 0.1 million less than its target.

TVS Motors

TVS Motors has posted de growth of 5.84% in the month of October 2011. The company has sold around 1,80,618 units in the month of October 2011 compared to 1,91,822 units sold in the month of October 2010. Total sales stood at 1,83,718 units in the month of October 2011 down by 5.92% compared to 1,95,271 units sold in the same period last year.  On the month on basis the company’s sales is down by 16.26%. The company sold 2,15,690 units of two wheeler in the month of September 2011. The lower sales are attributed to 7 days plant shutdown for maintenance.

However, the company has reported retail sales of 2,50,000 units for the month of October 2011 which is by far highest in company’s history. It is also 20% higher compared to last year Diwali sales. As significant amount of inventory liquidated at dealer lever in October month, the company expect the November and December month sales in the range of 2,00,000 units. The company has sold approximately 12,97,871 units during April 2011 to October 2011 period up by 11.61% compared to11,62,861 units in the same period last year.

TVS Motors motorcycle sale is stagnating now. The company is pushing well on moped front. The company is also bullish on export front and exploring new opportunities to expand its export market. The company has set goal of selling 2.4 million units in this financial year.HMSIIndia’s largest scooter manufacturing company Honda Motorcycle & Scooter India Ltd reported sales growth of 19.69% in the month of October 2011. The company reported sales of 1,78,181 units in the month of October 2011 compared to 1,48,661 units in the October 2010. On month on month basis the company’s sales remain flat. The company sold 1,78,642units in the month of September 2011.Motorcycle sale is up by 4.64% in the month of October 2011. The company sold 71,509 units in the month of October 2011 compared to 68,332 units in the month of October 2010. On the other hand Scooter sale is up by whopping 32.46%. The company sold 1,06,672 units of scooter in the month of October 2011 compared to 80,529 units in the month of October 2010. The company has sold 11,01,160 units during the April 2011 to October 2011 period up by 14.20% compared to 9,64,171 units sold in the same period last year.

As expected sales is increasing on the month on month basis now. Scooter number for HMSI has grown at the rate of 32% this month which suggests continuous capacity expansion. The higher growth rate is also attributed to continuous strong performance in scooter segment. The company has started building its third plant in Narsapur Industrial area, 52 Km away from Banglore, Karnatak to expand it’s capacity to 4 million units by mid 2013.

Yamaha India

Yamaha India has reported sales growth of 26.82% in the month of October 2011 compared to October 2010. Total sales stood at 47,240 units in the month of October 2011 compared to 37,251 units last year in the same period. Month on month basis the sales is up by 8.69%. The company sold 43,462units in the September 2011. Domestic sales stood at 38,229 units in the month of October 2011 up by 35.24% compared to 31,791 units in the month of October 2010. Export stood at 9,011 units in the month of October 2011 up by 65.04% compared to 5,460 units in the month of October 2010. During April to October 2011 the company sold 2,78,272 units up by 32.80% compared to 2,09,540 units sold in the same period last year.

Commenting on the sales India Yamaha Motor Director, Sales & Marketing, Jun Nakata said: “The festive season has played a vital role in catapulting sales for Yamaha this month. We are confident that the momentum will sustain in the long run and help us in redefining our sales graph,”

The company has recently launched version 2.0 of its flagship motorcycle YZF-R15. The company is aiming to sell 5,00,000 units in this financial year with 3,50,000 units of domestic sales and 1,50,000 units of export. The company is also planning to launch scooter in this financial year.

Suzuki Motorcycle

Suzuki Motorcycle India did not report sales figure for the month of October 2011 due to ongoing strike at company’s plant. Last year, the company sold 25,439 units in the month of October 2010. The company sold 29,094 units in the month of September 2011. Last year the company sold 1,46,157units during the period of April to October 2011.

It seems like the company may have done good sales in October month but due to strike, the production has hurt a lot.

Mahindra Two Wheelers

Two wheeler company Mahindra two wheeler reported de growth of 15.35% in the month of October 2011 compared to October 2010. Total sales stood at 17,949 units in the month of October 2011 compared to 21,204 units in the month of October 2010. The lower sales is attributed to motorcycle sales. The company sold 2,664 units of motorcycle and 18,540 units of scooters last year ire than 1.30 million units whereas HMSI sales stood at 1.10 million units during April 2011 to October 2011 period. Yamaha India, Suzuki Motorcycle and Mahindra two wheelers sold 0.27 million, 0.19 million and 0.09 million units respectively during the period of April 2011 to October 2011. It seems that the industry may grow at double digit but the growth rate will be around 10-12% for the restr 2011 period the company reported sales of 92,234 units up by merely 0.22% compared to sales of 90,034 units in the same month last year. The cumulative sales for the company have crossed a landmark figure of two and a half lakh units, with the Rodeo and Duro brands have crossed a figure of 1,00,000 units.

The company has reported massive de growth this month also in spite of dealer base expansion and promotional activities. This is clear indication that customers are moving from brand Mahindra. Moreover market leader HMSI has increased Activa production which is also taking some unit sales of Mahindra two wheelers. Going forward we will not see good growth figure if situation remains like this. The company is now looking for holistic business partnership with Yamaha to overcome this situation.

Summary

The Indian two wheeler industry’s growth rate tapered in the month of October due to the impact of so many negative factors like fuel price hike, increase in prices of two wheelers etc. The festive season did not help to increase sales. The October 2011 month has seen sales of more than 1.3 million units up by 3.77% compared to 1.26 million units sold in October 2010. The period April 2011 to October 2011 has witnessed growth of 16.27% over the same period last year. More than 8.89 million units of two wheelers sold during the period of April 2011 to October 2011 compared to 7.64 million units in the same period last year.

Hero Moto Corp the market leader is continuously posting double digit growth with robust sales each month. It has done 3.59 million units sales in the current financial year. Bajaj Auto the second largest manufacturer of two wheelers has sold over 2.34 million units in the current financial year.

TVS Motors has sold more than 1.30 million units whereas HMSI sales stood at 1.10 million units during April 2011 to October 2011 period. Yamaha India, Suzuki Motorcycle and Mahindra two wheelers sold 0.27 million, 0.19 million and 0.09 million units respectively during the period of April 2011 to October 2011. It seems that the industry may grow at double digit but the growth rate will be around 10-12% for the rest of the financial year.

At last the point is the company with more profit will give good products.