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Hero MotoCorp sales drop 41% YoY in November

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The world's largest manufacturer of motorcycles and scooters registered sale of 3,49,393 units in November 2021, down 40.89% compared with 5,91,091 in November 2020.

Hero MotoCorp's total sales declined 36.24% last month compared with 5,47,970 units recorded in October 2021.

Total domestic sales fell 42.90% to 3,28,862 units, while total exports jumped 35.66% to 20,531 units in November 2021 over November 2020.

Motorcycle sales stood at 3,29,185 units (down 39.20% YoY) and scooter sales were recorded at 20,208 units (down 59.30% YoY) in November 2021.

The two-wheeler major said that delay in harvesting due to the late withdrawal of monsoon in many parts of the country, impacted the demand post festive season. "With the economy gradually opening up coupled with several other positive indicators, such as encouraging farm activity, confident consumer index and marriage season, a swift revival in sales is expected in the fourth quarter," it said.

Additionally, commodity prices showing some signs of softening aided with the reduction of excise duty on fuel, and increased spending on Capex programs by the government is likely to bring back the momentum in the two-wheeler industry, it added.

The company said its electric vehicles (EV) project is progressing as per plans, and the Chittoor manufacturing facility in Andhra Pradesh is gearing up to produce the green products. The teams at Hero MotoCorp are focused on working across the entire EV eco-system such as battery technology and battery management systems, powertrain, telematics, analytics and diagnostics and charging infrastructure.

Swadesh Srivastava has recently been appointed to head Hero MotoCorp's Emerging Mobility Business Unit (EMBU), which is set for the launch of the first EV product by March 2022.

On a consolidated basis, Hero MotoCorp's net profit dropped 22.4% to Rs 747.79 crore on a 9.9% decline in net sales to Rs 8,538.85 crore in Q2 September 2021 over Q2 September 2020.

Shares of Hero MotoCorp were down 0.63% at Rs 2430.60.

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

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First Published: Thu, December 02 2021. 09:23 IST