Rural demand drives Hero MotoCorp sales of 4.5L units in June

Top Stories

»	Passenger vehicle sales down in Aug as consumers await GST cuts, 2-wheeler sales up: SIAM
»	Nifty, Sensex open flat as investors wait for fresh cues, US Fed meet outcome
»	India’s GDP growth to remain steady at 6.5 pc, another RBI rate cut likely this fiscal
»	Extend ITR, audit deadlines due to portal glitches, compliance overload: Tax associations
»	Centre to help automobile industry expand markets, strengthen supply chains

SME Times News Bureau | 01 Jul, 2020
Powered by growth from rural and semi-urban markets, Hero MotoCorp,
the world's largest two-wheeler manufacturer has made wholesale deliveries of 4.50 lakh in June, which is 90 per cent of the pre-Covid levels.

Hero MotoCorp said in a statement that it has led the revival of the domestic two-wheeler sector in the month of June with wholesale deliveries made to dealerships of over 450,744 units -- a record sequential growth of four times over the 112,682 units dispatched in May'20.

"Considering these are unusual and highly disrupted times, it is appropriate and logical to compare the sales trajectory in the sequential months, and not with the corresponding month of the previous year", the company said. In June of last year, it sold 6.16 lakh two wheelers.

The company said the sales in the first quarter of FY'21 was subdued due to the impact of COVID-19 and the effects of the closure of the plant operations and the retail outlets through the entire month of April and most of May. Despite the challenging conditions, Hero MotoCorp sold a total of 563,426 units of motorcycles and scooters in the first quarter of Financial Year (April-June) 2020-21.

Pawan Munjal, Chairman & CEO –- Hero MotoCorp said, "We have demonstrated phenomenal leadership quality and tenacity to clock a sharp vertical growth in our sales at a time of massive disruption and uncertainty".

"Sales of over 4.5 lakh two-wheelers in a highly disrupted month is also a clear signal of the resilience of the Indian economy to be able to revive in the face of any adversity. This has vindicated our strong belief in the robust fundamentals of the Indian economy", Munjal added.

He added that a major part of the market demand is emanating from the rural and semi-urban markets, which have been helped to a large extent by the various stimulus packages rolled out by the government. A combination of multiple factors, including the forecast of a normal monsoon, a bumper Rabi crop and the upcoming festive season are expected to keep the momentum going over the next few months."