TVS Motor Company reported a robust fourth-quarter performance in 2001-02 on the back of increased motorbike sales. During this quarter, the Chennai-based two-wheeler manufacturer reported a five-fold increase in net profit at Rs 23.19 crore as against Rs 4.23 crore in the corresponding quarter in 2000-01. The turnover during the same period increased by more than 32 per cent to Rs 581.91 crore.
However, the firm reported a 14 per cent decline in net profit at Rs 53.58 crore for 2001-02, despite sales increasing by 6 per cent to Rs 1,944.29 crore.
The company, on the back of good sales of its Victor brand, sold over 0.14 million units in the fourth quarter as against 88,500 units during the same period in 2000-01, accounting for a growth of 67 per cent.
The company said it was planning to double its motorcycle production capacity to 1.2 million units per annum by investing around Rs 200 crore, mostly through internal accruals. It has also lined up the launch of a new motorcycle and four-stroke scooter, apart from two variants of Fiero and a variant of Victor, in 2002-03.
Venu Srinivasan, managing director of TVS Motor, said the firm hoped to sell around 1.06 million units, including 0.65 million motorcycles, in 2002-03 as against 0.86 million units sold in 2001-02, representing an increase of 22.4 per cent.
The sales of scooters and mopeds are expected to be around 0.16 million units and 0.25 million units, respectively, as against 0.14 million units and 0.17 million units, respectively, in 2001-02.
