Revenue from Spare parts business stood at Rs. 637 crore for the quarter with a 15% growth YoY with Domestic market bringing in Rs. 460 crore.
Exports to Nigeria has come down to 10k units from 20k units a month. Nigeria and Egypt inventory levels are below minimum levels currently.
Export revenue for Q1FY17 stood at Rs. 2,057 crore compared to Rs. 2,634
Touchpoints – currently Bajaj has 3k-4k touchpoints i.e. Dealers and sub-dealers. Company’s current target stands at 700 dealers from the current 620 main dealers.
With the BS4 norms in place from April, 2017 – Bajaj expects a price hike of Rs. 500 to Rs. 800 per vehicle.
Bajaj expects Pay panel hike and good monsoons to turn around the fortunes of the company.
Excise benefits received by Panthnagar unit would start declining shortly. Currently the unit contributes 35% to the company’s Domestic Sales.
Disclosure: Analyst or Family do not hold the stock
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