Classic Legends To Launch Four Models in FY27, Expand Network To Drive Growth

Classic Legends, the maker of Jawa, Yezdi and BSA motorcycles, is lining up four new model launches in FY27 as it looks to build on last year’s growth momentum and push deeper into India’s mid-capacity motorcycle market. 

A senior company official said growth in the ongoing year will be driven by product interventions, network expansion, and focus on customer experience, even as geopolitical uncertainty and rising commodity costs remain key risks.

“Growth for us will be led by product interventions and network expansion. We have been launching a product every three months. The last three were Yezdis. We are going to launch four more models this year,” Anupam Thareja, Co-founder of Classic Legends, told Autocar Professional, during the launch of the Yezdi Scrambler 350 and BSA Scrambler 650. 

Classic Legends closed FY26 with a sharp rebound in retail sales, aided by GST 2.0, new model launches and strong festival season demand. According to FADA, the company retailed 45,409 units in FY26, compared with 32,482 units in FY25, increasing its two-wheeler market share to 0.21% from 0.17%. The performance came in a year when India’s broader two-wheeler market also recovered strongly. The overall two-wheeler sales rose 13.4% to 2.14 crore units in FY26, surpassing the pre-Covid peak. 

Classic Legends said its own growth was ahead of the broader 350cc category, which grew 19% in FY26. Including international sales, the company’s growth stood at 55%. 

Thareja said demand for premium motorcycles remains healthy post the strong festival season. “Non-discretionary spending is actually down, and discretionary spending is going up. So as of now, no problem. I still think there are legs based on the fact that this category is getting so much interest in terms of products,” he said. 

Looking ahead, the company expects growth momentum to continue. The recently launched Scrambler motorcycles are expected to open up a new opportunity in an emerging segment. “With all the initiatives we have taken, we are very confident that the next phase of growth journey will continue this year also,” said Jaypradeep Vasudevan, Head of Business Operations at Classic Legends.

Meanwhile, the Mahindra-backed motorcycle manufacturer also turned profitable in FY26, helped by higher volumes, stronger product traction and better operating leverage.

Thareja said Classic Legends posted a strong profit in the March quarter and remained profitable on a full-year basis as well. He added that margins are expected to improve further as volumes scale up and fixed costs get absorbed. The company has moved beyond a temporary recovery and is now back on a more visible growth path.

On the production capacity front, Classic Legends is planning an expansion as demand improves. The company expects output to cross 1,00,000 units in FY27, with its Pithampur plant likely to reach peak capacity by the end of the fiscal year.

Thareja said the company is evaluating whether to invest in the existing Madhya Pradesh facility and scale it up, or set up a new plant closer to vendor bases

The capacity expansion marks an important shift for Classic Legends, which had struggled in earlier years to scale volumes due to product quality concerns, after-sales service gaps and pandemic-led disruptions that weighed on growth. 

Network and customer experience in focus

Alongside new launches and capacity expansion, Classic Legends is also stepping up its dealer network. The company is targeting 500 outlets before the upcoming festive season and plans to scale up to over 700 touchpoints by FY28.

The network expansion is aimed at improving reach in the mid-capacity motorcycle market, where product availability, service quality and customer experience play a critical role in purchase decisions.

Classic Legends is also revamping existing dealerships and investing in customer experience. The company is working on three key pillars–people, processes and digital tools–to standardise the ownership journey across outlets.

On the people side, it has set up a National Training Centre at its Indore plant and is also working with institutions to strengthen dealership manpower. It is also deploying AI-based tools to monitor and improve dealer capabilities.

The company is also sharpening its focus on post-purchase engagement by building a stronger riding community, a key differentiator in the premium mid-capacity segment. The company plans a three-layer approach–dealership-led rides, central marquee events and partnerships with local riding clubs–to deepen customer engagement. 

West Asia crisis adds cost pressure

The West Asia crisis remains a key concern for the company because of its impact on commodity prices and supply chains. It has added pressure on input costs, with sharp volatility in key commodities such as precious metals, rhodium, platinum, palladium, base metals and aluminium.

According to Thareja, Classic Legends does not have a hedge against commodity inflation. While larger players also buy these commodities at similar market prices, they have the benefit of greater operating leverage, which smaller players may lack.

The company is also seeing pressure at the vendor level, particularly around labour availability. With nearly 80% of its production outsourced, vendor stability remains critical to maintaining output and quality.

Thareja said the company has managed the situation so far, but a prolonged disruption could affect production across the industry.

On pricing, he said Classic Legends has taken some price increases, but passing on costs remains a calibrated decision. The company will weigh competition, category dynamics, profitability and its broader growth strategy before taking further pricing action.

He added that while costs are an external pressure, pricing is a strategic choice. The company’s decision to launch the new Scrambler with higher specifications and more power at a lower price point reflects its intent to expand the segment rather than focus only on cost recovery.