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Bajaj Auto targets 3 lakh motorcycles sales in August

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  • Bajaj Auto targets 3 lakh motorcycles sales in August

    Bajaj Auto targets 3 lakh motorcycles sales in August.

    Bajaj Auto has posted its highest monthly sales this July, year-on-year. Total sales in July are up 65% at 3.18 lakh units as compared to 1.92 lakh units in the same period last year. Motorcycle and three-wheeler sales are up 66% and 60% at 2.79 lakh units (1.68 lakh units) and 38,634 units (24,104 units). The company's exports are up 56% at 1,06,000 units versus 68,585 units.
    Month-on-month, Bajaj Auto's total sales are up 1% at 3.18 lakh units as against 3.15 lakh units. Motorcycle and three-wheeler sales stood at 2.79 lakh units (2.82 lakh units) and 38,634 units (32,614 units).

    Speaking on the buoyant sales figures, Rajiv Bajaj, MD, Bajaj Auto, said there were some production constraints in July. However, he was quick to add that the production constraints will not affect the FY11 sales target of 4 million.
    Road ahead:
    Bajaj is hopeful of reaching 3 lakh motorcycle sales in August. "We aim to touch the 3.25 lakh mark in September."

    He is also confident of pushing up earnings before interest, taxes, depreciation and amortization (EBITDA) margins from the second quarter (July-August) quarter of financial year 2010-11 onwards on higher volumes and product mix. "Margins should expand in Q2 FY11 on low commodity prices."
    On bike sales:
    Bajaj said there are capacity constraints on the new Discover 150 cc. "The demand for Discover 150 cc is 45,000 units per month. So, we need to improve capacity of Discover 150 cc."

    On competition:
    He does not see TVS Motor gaining market share in bikes. "TVS Motor's market share gains will not impact Bajaj Auto's clientele."

    Below is a verbatim transcript of the interview. Also watch the video.
    Q: You are still seeing some production constraint issues. Can you take us through in which products specifically you are seeing any kind of constraints and whether it will come in the way of the annual sales target of 4 million that you have set out?
    A: We struggled a bit even in July; to be specific we managed to do better on the three wheelers. We actually pushed up from about 35,000 to about 38,500 so not quite all the way to 40,000 but that has worked nicely in July. Unfortunately with motor cycles we are still in the 280,000 space. We did not quite make it to 300,000. Hopefully in August we can do that. No, I do not think it will come in the way of our 4 million targets, because we did 930,000 vehicles in the first quarter. We have done 320 almost this month. So for the first half we would be close to about 1.95 or so which means that barring something really unforeseen we should be good for 4 million.

    Mr.Rajiv Bajaj Interview- >> My TV >> CNBC-TV18 >> Video - Bajaj Auto targets 3 lakh motorcycles sales in August

    Bajaj Auto targets 3 lakh motorcycles sales in August - CNBC-TV18 -

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  • #2
    News approved.
    (Been There Done That) x 3.25


    • #3
      great going bajaj...An aggressive domestic player is always a welcome aspect in any industry, especially in this post-liberalization era
      Current rides-
      Iron 883 (2015- ); Interceptor 650 (2019- )


      • #4
        go ahead

        go ahead bajaj with your brand name PULSAR ........

        but just think about Apache in 220cc segment
        AutO RacinG, Bull FightinG, and MountaiN climbing are the only real SportS ... all others are GameS.


        • #5
          pure arrogance on his part to ignore tvs.
          Last edited by bprags; 08-06-2010, 08:47 PM.


          • #6
            Originally posted by shyamsharma View Post
            go ahead bajaj with your brand name PULSAR ........

            but just think about Apache in 220cc segment
            even if tvs lunched a 220cc bike it wont hurt bajaj or any one
            because volume makers are in 100-125cc