Hero MotoCorp Ltd, the largest two-wheeler manufacturer in India, announced its second-quarter results for the financial year 2024-25 on November 14, 2024. The company reported a 6% increase in net profit, reaching ₹1,066 crore compared to ₹1,007 crore during the same quarter last year. This growth reflects the company’s robust performance amid rising demand in the two-wheeler market.
Key Highlights:
- Net Profit: ₹1,066 crore (up 6% YoY)
- Revenue from Operations: ₹10,482.93 crore (up 9.9% YoY)
- Shares Performance: Closed at ₹4,604.30, up 1.84% from the previous close
Detailed Financial Results
Hero MotoCorp’s revenue from core operations rose significantly, with a total of ₹10,482.93 crore for the July to September quarter, compared to ₹9,533.07 crore in the same quarter last year. The company’s strong performance is attributed to increased sales volume and effective cash management strategies.
Sales Performance:
- Units Sold: The company recorded its highest-ever retail sales at 16 lakh units, driven by strong demand from rural markets.
- Market Segments: Continued success in the Entry and Deluxe segments while progressing in the Premium segment.
CEO’s Statement on Performance
Niranjan Gupta, CEO of Hero MotoCorp, expressed confidence in the company’s performance during Q2 FY’25. He stated:
“We have continued our exceptional performance in Q2 FY’25, once again creating a new high in both topline and bottomline. Our strong focus on cash management has resulted in us delivering strong cash flow, strengthening our financial position even further.”
Gupta also highlighted plans for expanding their product portfolio and enhancing brand presence in the premium motorcycle segment.
Future Outlook
Looking ahead, Hero MotoCorp is set to launch three new Internal Combustion Engine (ICE) scooters by March 2025. The company aims to strengthen its lineup with innovative models that cater to evolving consumer preferences.
Upcoming Launches:
- New models include:
- Xpulse 210
- Xtreme 250R
- Karizma XMR 250
The company is also focusing on expanding its Premia stores, targeting to cross 100 locations by the end of the current fiscal year.
Market Response
Following the announcement of its Q2 results, Hero MotoCorp’s shares saw a positive response in the market. The stock closed at ₹4,604.30 on Thursday, reflecting investor confidence in the company’s growth trajectory and strategic initiatives.
Conclusion
Hero MotoCorp’s Q2 results demonstrate a solid financial performance with a notable increase in both net profit and revenue. With a strong focus on product innovation and market expansion, the company is well-positioned for continued success in the competitive two-wheeler industry.
Disclaimer: Financial figures are based on estimates and various sources; they have not been independently verified.
