Bajaj Auto plans to upgrade its 125-160cc motorcycle portfolio after reporting strong growth in its sporty motorcycle business during the April-June quarter, as the company looks to strengthen its position in one of India's largest motorcycle segments.
The company said upcoming upgrades across its 125-160cc motorcycles are expected to improve its competitive position following product interventions in the Pulsar range that helped it gain market share during the quarter.
"Pulsar, Avenger and Dominar all grew double digit YoY; the sports segment was at ~50% growth as product interventions across the Pulsar range drove market share gains; upcoming upgrades across 125-160cc are expected to further strengthen competitive positioning," Bajaj Auto said in its quarterly earnings statement.
The automaker's current 125-160cc portfolio includes motorcycles under the Pulsar and Freedom brands. Bajaj Auto did not disclose whether the planned upgrades would cover its entire 125-160cc portfolio or specific models, nor did it provide a timeline for their rollout.
The company had earlier said in its annual report that it would sharpen its focus on the domestic 125cc-plus motorcycle segment in the current financial year, while accelerating the growth of its Chetak electric scooter business and the KTM and Triumph premium motorcycle brands. It also plans to expand exports despite geopolitical tensions, commodity inflation and supply chain disruptions.
Bajaj Auto is also planning to expand manufacturing capacity for its electric vehicle and premium motorcycle portfolios, develop alternative materials and supply sources, and continue efforts to restore KTM to sustainable financial performance.
The planned upgrades come after Bajaj Auto reported record quarterly financial performance for the April-June period.
Revenue from operations rose 37% year-on-year to a record Rs 17,244 crore, driven by higher sales volumes and better realisations. Profit after tax climbed 42% to Rs 2,983 crore, while EBITDA increased 45% to Rs 3,596 crore. The EBITDA margin improved to 20.9% from 19.7% a year earlier.
The company sold a record 1.44 million vehicles during the quarter, up 29% from a year earlier. Total two-wheeler sales increased 29% to 1.22 million units, while commercial vehicle sales rose 33% to 215,699 units. Domestic two-wheeler volumes grew 11%, while exports surged 52%, helping the company post its highest-ever quarterly export volumes.