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Hero MotoCorp Sales Contracts At 13.5%, Shortfall Of 76,000 Units Year-On-Year


Hero MotoCorp Sales Contracts At 13.5%, Shortfall Of 76,000 Units Year-On-Year
We bring you our monthly report on the automobile sales for the month of January, 2017. You can catch all the January Sales here. You can also find all the coverage in relation to the automobile sector here.

HMCL kick started 2017 with its auto-components arm – Rockman Industries acquired a majority stake in a Gujarat-based British-Indian design and manufacturing company – Moldex Composites. The company said that the acquisition creates a nucleus for Rockman to leverage the technology and to expand presence in the global aerospace, motorsports and automotive businesses.
Suman Kant Munjal, Chairman Managing Director, Rockman Industries said:

Our investment into the carbon composites technology is aimed at pre-empting the global shift towards carbon fibre in automobiles, besides an entry into motorsports and aerospace. The move is also a part of our diversification strategy aimed at a turnover of Rs 5,000 crore by 2021. Carbon composites is expected to account for 10% of Rockman Industries turnover in the next five years.

Moving on to the next big event for the company which was the company’s aggressive global expansion plans on track with entry into Argentina through the distributor Marwen SA with the launch of “The New Glamour (called ‘Ignitor’ in Central & South American markets)”. This would be the company’s first-ever product to have a global launch outside of India. The bike comes with the new BS-IV complaint engine (more on the product here).

Pawan Munjal, Chairman, Managing Director and CEO, Hero MotoCorp, said:

Our first global launch of a new motorcycle here is reflective of the importance of Argentina and Latin America for us on our global map. South America is an important market for us, a fact borne out by our first overseas manufacturing facility in Colombia. With the commencement of our operations in Argentina, we are now significantly growing our presence in the region. We will be focusing on capturing an adequate market share here with our iconic product range. We have already begun our brand building initiatives for Argentina by bringing on-board the Argentine legend – Diego Simeone, the coach of Atletico de Madrid.
“The ‘New Glamour’ – developed at our world-class, state of the art R&D campus in the India – the Centre of Innovation and Technology – has been designed keeping in mind our young customers across the globe, it has a sportier design, perfect amalgamation of power and performance, it is fuel efficient and most importantly it is a true symbol of Prime Minister Narendra Modi’s ‘Make in India’ initiative.

Here is Markus Braunsperger, CTO, Hero Motocorp speaking on the R&D capabilities of the company:

Hero MotoCorp reported sales of 487,088 units in January, 2017 against 563,348 units during the same time last year resulting in a contraction of 13.5%.
Here is what the company add:

There is a positive change in the market sentiments, which is reflected in the improved off take, and the Company expects industry sales to gradually return towards normalcy.

Hero MotoCorp Sales Contracts At 13.5%, Shortfall Of 76,000 Units Year-On-Year
Note: Sales numbers presented here are manufacturer reported sales numbers i.e. factory dispatches to dealerships. They are NOT retail sales figures to end customers.
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