Domestic industry to grow 7-8% but Bajaj will race ahead faster, says a confident management

After reporting a stellar fourth quarter, Bajaj Auto, India's third-largest two-wheeler company shows no signs of a slowdown and expects to outpace the industry in FY25 for the second year running.

"On the positive side, we expect the domestic industry to grow at a good rate of 7 percent to 8 percent per annum, with the upper half of the demand pyramid growing significantly faster," Rakesh Sharma, Executive Director of the company said in a post-result conference call.

The management emphasized that their strategy revolves around prioritizing the company's positioning, readiness, and responsiveness. The company maintains a strong presence in the market while staying focused through fully built units (FBU) and positions them well to capitalize on opportunities and continue outpacing industry growth, as demonstrated in FY24.

Bajaj is of the view that consumer confidence is on the rise, evident in longer loan tenures and increased financing adoption. While overseas markets, barring a few exceptions, are on the path to recovery, the expanding adoption of electric vehicles presents a new opportunity.  "Additionally, the favorable cost environment and the gradual devaluation of the Indian rupee are beneficial for our export operations", Bajaj Auto stated, citing the positive levers of the growth in the coming quarters.