InvestorQ : Has Bajaj Auto finally managed to get ahead of Hero Moto in terms of sales revenues?
Deepa Salunkhe made post

Has Bajaj Auto finally managed to get ahead of Hero Moto in terms of sales revenues?

Answer
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Juvina Maggie answered.
3 months ago


For the fiscal year 2019-20, Bajaj got the better of Hero Motocorp for the first time in nearly 10 years. Bajaj Auto clocked revenues of Rs.30,000 crore for FY20 to become the largest two- and three-wheeler manufacturer. Sales revenues of Bajaj Auto fell by just 1.4% to Rs.29,919 while Hero Moto reported a drop of 14% in revenue to Rs.28,836. For FY20, Bajaj reported 8% fall in sales volumes to 4.61 million units while Hero MotoCorp reported 18% decline in volumes to 6.39 million units. Apart from the fact that the average realization is higher for Bajaj Auto, its export focus also helped it along the way. However, Hero Moto maintained its leadership position in the two-wheeler market in India during FY20. Bajaj finished fourth in the domestic two-wheeler market where Hero Moto is the leader followed by Honda and TVS Motors. In the last year, Bajaj exported 47% of its output which was much higher than 41% in FY19. Bajaj predominantly exports to Africa, Latin America, South Asia and Middle East which offer much richer margins than in India.