Indian two wheeler giant Hero MotoCorp captured over 70 percent market share in 75cc-110cc two wheeler segment while achieving more than 50 percent in 125cc segment in the first quarter ended June 2015.
The new product launches and strategic marketing initiatives helped Hero MotoCorp, which is also the world’s largest two wheeler maker, to post impressive growth in the first quarter.
The company sold 16,45,867 units in the April-June 2015 quarter and recorded a turnover of Rs 6955.26 crore compared to Rs 7036.84 crore registered in the same quarter in the previous financial year.
Hero MotoCorp’s net profit for the first quarter in the current financial year stood at Rs. 750.34 crore, recording a year-on-year growth of 33 percent compared to Rs 562.76 crore registered in the same period a year ago.
The first quarter witnessed several key announcements from the company including Pawan Munjal’s elevation as the new Chairman of the company. During the period, the two wheeler maker has introduced two new products – sportier and more powerful 150-cc Xtreme Sports and stylish 100-cc Passion Pro.
Besides, the company has tied up with Punjab National Bank to sell its vehicles through easy financing scheme in rural areas while also becoming the title sponsor of the Hero Caribbean Premier League for one-year period. In addition, its popular Splendor iSmart motorcycle achieved a global benchmark in fuel efficiency at 102.5 km/l.
Munjal said the raising demand for the company’s products in the 125cc segment category has also been instrumental in boosting first quarter sales volumes. The company has lined up a slew of new launches including motorcycles and scooters as it move into the festive season.
Hero MotoCorp forecast that the industry will witness upward trend in the coming months despite the fact that it will depend on multiple factors including rural income and good monsoon.