Reflecting brutal competition in the Indian two wheeler market, the country’s motorcycle leader Hero MotoCorp reported degrowth in May 2015 sales but it managed to cross 5-lakh units in sales.
India-based world’s largest two wheeler maker Hero MotoCorp Ltd (HMCL) recorded 5.4 percent decline in vehicle sales for the month of May 2015. The company’s May 2015 sales tumbled by 5.4 percent to 569,876 units from 602,481units it sold in the corresponding period last year.
However it retained its leadership in the Indian two wheeler market by reporting yet another month with sales of more than five lakh two wheelers.
In a statement filed to Bombay Stock Exchange, Hero MotoCorp said it has been consistently recording more than 5-lakh unit sales month-on-month amidst slowing rural economy and moderating wages in the rural sector.
The company’s popular commuter segment motorcycle HF Deluxe has achieved a milestone of crossing one million unit sales in the financial year 2014-15. With this achievement, HF Deluxe has emerged as the third motorcycle model from HMCL to record annual sales of over a million units in the lines of its other popular models like Hero Splendor and Hero Passion.
It may be noted that its another model Splendor iSmart, which is known as the world’s most fuel efficient motorcycle with a mileage of 102.5 km per litre, has crossed 350,000 units in sales within a year of its launch in the Indian market.
Another notable mile stone that the company achieved was witnessing sales of more than 100,000 units of two-wheelers on the online platform through its partnership with the India’s popular e-commerce portal Snapdeal.
On the day of the company reported its May 2015 sales, it also saw its Vice Chairman Pawan Munjal elevated as the Chairman of Hero MotoCorp, a major transition in top leadership in the history of the company since its inception in 1984. Munjal is succeeding his father 92-year old Dr Brijmohan Lall, who will continue as Chairman Emeritus and non-executive director of the Board.
In the days to come, Pawan Munjal is expected to take a few major decisions in the areas of investments and infusion of new technologies in order to take the company to next level.