Iconic bike Royal Enfield manufacturer Eicher Motors reported a 50.4% jump in its June quarter (Q1 FY24) profit of Rs 918 crore. The company posted Rs 610.66 crore in PAT in the corresponding quarter a year ago.
Eicher Motors’ total revenue from operations for the quarter was recorded at Rs 3,986 crore, up 17.3% as compared to Rs 3,397 crore in the corresponding quarter of FY 2022-23. EBITDA during the quarter under review was Rs 1,021 crore, up 22.8% as compared to Rs 831 crore in the same quarter of the previous financial year.
According to the company, this is its best Q1 performance, and is also the fourth consecutive quarter of the highest revenue from operations and PAT.
Royal Enfield sold 225,368 motorcycles in the quarter, an increase of 21.1% from 186,032 motorcycles sold over the same period in FY 2022-23.
According to Siddhartha Lal, Managing Director and CEO, Eicher Motors, at Royal Enfield, the Hunter 350 and Super Meteor 650 have significantly helped the company in growing the market and continue to bring in a new set of consumers from across the globe, which has further increased the addressable market.
"As we continue to strengthen our product portfolio we have some really exciting and amazing motorcycles being launched in the forthcoming quarters. At VE Commercial Vehicles, we registered our highest sales and revenue for Q1 and made strong market-share gains in both - Light Medium duty and Heavy duty trucks. Overall, we are on a solid growth path and have a resolute focus on our long-term strategic business objectives," Lal added.
Royal Enfield strengthened its global presence with the inauguration of its fifth CKD assembly unit outside India in Birgunj, Nepal.
"With our diverse range of products, we have been able to maintain a healthy market share in the mid-size segment not only in India, but have also been able to sustain our standing in overseas markets. A big highlight for us during the quarter was the spectacular performance of the Hunter 350 as the motorcycle recently crossed the 2,00,000 global sales mark in just eleven months since launch. In June, we announced our fifth global CKD facility outside India in Nepal. This facility will help us cater to the growing and expanding Nepal and SAARC region. We are fuelled by consumer responses to our new motorcycles, and by our commitment towards our long-term strategic vision. We will continue to strive to offer best-in-class products and experiences for our consumers," said B. Govindarajan, CEO - Royal Enfield and Wholetime Director, EML.
Speaking on VECV’s performance Vinod Aggarwal, MD and CEO VECV said “We continued to build on our strong performance in the last financial year and have recorded our best ever first quarter with sales of 19,571 units as against sales of 17,469 vehicles in Q1 of the corresponding quarter last year with a growth of 12%. While the CV industry 3.5T and above grew by 0.5% and we have outperformed the industry growth resulting in improvement in our market shares.”