Hero MotoCorp is looking at a sustainable business growth trajectory and enhanced market share across segments, reports PTI. The report further states that with its margins back to the pre-Covid levels, the largest two-wheeler brand in India is betting big on new product launches over the next few quarters, in an attempt to enhance its market share and ensure business growth.
In order to increase its market share, Hero MotoCorp is also betting big on the Harley-Davidson X440, which has received more than 25,000 bookings so far since launch and has been co-designed and co-developed by the two motorcycle giants. Hero MotoCorp CEO Niranjan Gupta said in an analyst call that the company is also on track to introduce its electric two-wheeler range in 100 cities by the end of 2023 with a focus on attaining clear leadership in the vertical.
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Speaking about the company’s strategy, Gupta said that the internal combustion engine-powered two-wheelers’ business margins are now 14.5 per cent. “Effectively, it means that we are back to pre-Covid levels which were around 14 per cent,” he said. During the Covid period and with the cost inflation, the margins had got down to around 11.5 per cent, Gupta noted.
Moving forward, having covered the margins back to pre-Covid levels, Hero MotoCorp’s singular focus is going to be growth and market share on the back of the product launches that have been done and are in the offing in the next few quarters, the company’s CEO further added. Speaking about the company’s premium product strategy, Gupta said that there is a plan to extend the X440 portfolio in the future. “Obviously there is a thinking in future to extend the portfolio and also to look at geographies, but those are discussions that we will have with our partner Harley-Davidson at an appropriate point in time,” he said.
First Published Date: 20 Aug 2023, 13:57 PM IST