
Why Bike Makers Eye Royal Enfield Pie
Hero, Bajaj, Yamaha and TVS work on taking market share from Royal Enfield
Hero, Bajaj, Yamaha and TVS work on taking market share from Royal Enfield
Revenue from operations rose 29% year-on-year to ₹10,310 crore during the first quarter, aided by double-digit volume growth
The Royal Enfield owner's stock has fallen 12.6% in the past five sessions following the launch of HD X440 and Speed 400 by Hero MotoCorp and Bajaj Auto, respectively.
Share price of rival Eicher Motors, which makes Royal Enfield, has crashed 8.8% in 2 days. That of Hero and Bajaj have risen 8.4% and 6.3%.
Speed 400 priced at a competitive price point of ₹2.33 lakh, joins Triumph’s modern classic line-up; Scrambler 400 X takes rugged design cues from Scrambler 900, 1200
Hero MotoCorp was the top laggard on the BSE auto index, falling as much as 3.3% to ₹2,470.60 on weak monthly sales in April.
Bajaj Auto shares opened higher at ₹4,368.95, but soon slipped as much as 1.4% to ₹4,282.80 on the BSE.
Revenue from operations rose 12% to ₹8,905 crore for the January-March quarter.
On the quarter-on-quarter basis, the net profit witnessed a growth of 30%, compared to ₹1,173 crore in the previous quarter.
With a premium product, Hero is neither expecting nor wishes to drive volumes right up front. It is also concurrently working on an export strategy and has identified potential markets.