Hero MotoCorp clocked its highest-ever festive sales during the 32-day period starting Navratri this year, with the rural segment catching up with the urban category.
CEO Niranjan Gupta added this was the second year in a row that the company clocked record festive sales, and rural demand has been reviving. "There has been good momentum and growth in most parts of the country with rural sales catching up with the urban segment in the latter half of the festive season."
The company is hopeful that the momentum will continue and is 'optimistic' about the rest of the year. For Hero Moto, the 125cc motorcycle segment was the key growth driver, while the 100cc segment too contributed to the strong sales performance. The two-wheeler major sold 15.98 lakh units, 13% higher than the festive season of 2023.
Read More: Hero MotoCorp sales rise 18% to 6.8 lakh units in October
Hero Moto's electric vehicle brand VIDA sold 11,600 units during the festive period, said the company, as it plans to expand portfolio to infuse boost growth further. The month also saw the Delhi Government extend its EV policy till March 2025, offering two-wheelers a subsidy of Rs 5,000 per kWh of battery capacity. Hero said its focus on Top 30 cities is yielding positive result.
Earlier in October, Bajaj Auto had expressed some concern over sluggish demand during the festive season, however, later clarified that the on-ground situation has been better.
Deepak Jasani of HDFC Securities told CNBC-TV18 on November 4 that the festive demand has shown some pick up, and two-wheeler companies have been outperforming due to a lower base. However, this outperformance may moderate going forward.
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