Optimistic about retaining its position in the market in the FY 2012-13, India's second largest two wheeler manufacturer, Bajaj Auto, is planning to launch a new line-up of vehicles. Therefore, it has set its eyes on the sales figure of 50 lac units during this fiscal. Including the sales in the domestic market and total exports, the company sold a total of 38,34,405 motorcycles in FY 2011-12. Year over Year (YoY) growth in terms of sales in the same period was recorded at 13 per cent.
In order to achieve this target, the company is banking on its new launches and a well defined export strategy. The new Pulsar 200 NS and Discover 125 ST will roll out from Bajaj's stables in the first half of this fiscal and will be the lamp bearers for the company, which will be relying on them to boost sales and handle the competition. Challenging its position for second spot is the immediate competitor, Honda Motorcycle and Scooter India (HMSI), which has launched its first-ever low cost commuter bike, Dream Yuga in the 110 cc segment.
Even the slow pace of the market fails to dampen Bajaj's spirits, which hopes that this fiscal will prove to be good. Senior Vice President, Business Development, Bajaj Auto, S Ravikumar, said, “We are having a solid action plan for the current year with our new launches in Pulsar and Discover families. We should be able to do 5 million plus sales in the current year. We are hopeful that we will be able to beat the market sluggishness.”
Bajaj is also planning to launch its very first four wheeler, RE 60, in the last quarter of this fiscal. This upcoming model was exhibited at the 2012 New Delhi Auto Expo held in January 2012. However, the company did not divulge any additional details regarding its plans for the product.
The domestic automobile giant has also forged an alliance with Austria-based motorcycle manufacturer KTM to develop new vehicles. It owns a 47 per cent stake in the Austrian bike manufacturing company. Launched in the country in January 2012, new KTM Duke 200 bike has been a hit, with 1500 units of the bike being delivered to the customers in March 2012 itself.
Bajaj's YoY net profit declined to Rs. 772 crore, a slump of 45 per cent, in the fourth quarter of the last fiscal. However, in the same period, its operating margin was 20.7 per cent, marking the best figure in the automobile industry. Compared to the same period last year, the automotive major's total sales rose to Rs. 4,515 crores from Rs. 4,030 crores.
