Hero MotoCorp witnesses sales dip but export surge in May
Hero MotoCorp, the global leader in two-wheelers, reported a 4.1% decrease in sales for May 2024, selling a total of 4.98 lakh units. This is a drop from the previous year's sales of 5.19 lakh units in May. However, the company saw a growth of 12.6% for the first two months (April-May) of FY25, with sales reaching up to 10.31 lakh units compared to last year's figure of 9.15 lakh units.
Product segmentation and domestic sales decline
In May 2024, Hero MotoCorp's motorcycle segment sold 4.71 lakh units, a decrease of 3.7% from the previous year's sales of 4.89 lakh units. The scooter segment saw a more significant drop of nearly 11%, with only 26,937 units sold compared to the previous year's figure of 30,138 units. Domestically, the company reported a decline in sales by nearly 5.7%, selling only 4.79 lakh units as opposed to last year's figure of 5.08 lakh units.
Hero MotoCorp reports remarkable export surge
Despite the decline in domestic sales, Hero MotoCorp reported a significant surge in exports. The company saw an impressive 67% increase in exports, with a total of 18,673 units exported compared to just 11,165 units in May of the previous year. In response to these figures, Hero MotoCorp stated, "Hero MotoCorp registered a healthy growth in its export volumes during the month and continues to see increased demand for the VIDA V1 electric scooter."
Hero MotoCorp's future plans amid sales dip
Hero MotoCorp has emphasized its focus on premiumizing its product portfolio, and increasing production of the Xtreme 125R to meet high demand. It said, "The company is gearing up for an energetic upcoming period with a slew of product launches and business expansions." Despite the sales dip, the firm's Q4 results were robust, leading brokerages to maintain a bullish outlook due to positive growth prospects.
