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The country’s largest two-wheeler manufacturer Hero MotoCorp, on Tuesday, reported a consolidated net profit of ₹1,032.21 crore for the first quarter (Q1) ended June 30, 2024, up 47.34 per cent year on year as compared with ₹700.54 crore in the corresponding period last year.
Led by positive trends across domestic, electric vehicle (EV) and global businesses during the quarter, the company’s revenue from operations also crossed ₹10,000 crore for the first time at ₹10,211 crore in the April-June quarter (₹8,851 crore), up 15.36 per cent.
The company sold a total of 15.35 lakh two-wheelers (13.53 lakh units) during the quarter in review, which is a growth of more than 13 per cent .
“We continue to be on the profitable growth journey, crossing ₹10,000 crore revenue for the first time ever, accompanied by highest ever underlying PAT. As we surge forward, we are investing behind long-term capability building to ensure sustained delivery of growth in future. We are seeing a sharp recovery in market share in 125cc segment, charged by the new model Xtreme 125cc, while we continue to maintain a formidable market share in entry and deluxe 100/110cc segment of over 70 per cent powered by our brands like Splendor, Passion and HF deluxe,” Niranjan Gupta, Chief Executive Officer (CEO), Hero MotoCorp, said.
Future focus
Going forward, the company’s focus will be building its brands in the premium segment on the back of launches done in the last few quarters to win in this segment, he said.
“We will be launching new models in scooters as well in the next two quarters to re‐energise this portfolio. We have seen now our EV brand Vida starting to increase its presence and market share, and we will be expanding portfolio into affordable segment within this fiscal,” Gupta said.
He added that the overall economic indicators in India are promising, and the inclusive policies as well as capital allocation to infra and rural sector announced in the Budget are expected to bolster demand.
“With inflationary pressures easing, consumer spending power is set to rise, further driving momentum as we gear up for a big festive season ahead. Overall, we are optimistic about the demand trajectory for the coming quarters,” Gupta added.
Shares of Hero MotoCorp closed at ₹5,240.45 apiece on the BSE on Tuesday, down 1.36 per cent.
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