K. ARAVIND
Bajaj Auto is India’s largest three-wheeler manufacturer, largest premium motorcycle manufacturer and second largest two-wheeler manufacturer. Bajaj Auto is also India’s largest three-wheeler exporter. Bajaj Auto is the sixth largest motorcycle manufacturer in the world.
The company focuses on the export of motorcycles. The company has a market share of 10 per cent in the global motorcycle export market. In countries such as Nigeria, the market share is 50 per cent.
Bajaj Auto achieved the highest quarterly exports in the first quarter of last fiscal. 5.34 lakh vehicles were exported in the first quarter. During the same period last year, the country exported 4.02 lakh vehicles and achieved 31 per cent growth. The company has the technology and excellence to effectively face competition from other companies. There is also a high surplus on the balance sheet. Excellent presence in exports also helps the company to survive competition. Two-wheeler sales are likely to pick up again in rural areas.
The company had a strong performance in the July-September quarter. The company had posted a net profit of Rs 1,118 crore in the second quarter. The company reported a 19 per cent growth in profits. Revenue growth was 19 percent.
The absence in the scooter segment is a factor affecting the overall sales of the company. At the same time, the company will benefit as people are buying vehicles following COVID-19. The company expects revenue growth of 8 per cent. Consumption growth is likely to benefit automakers, especially two-wheeler companies, in the coming quarters.
