Two-wheeler makers reported a brisk month-on-month sales and narrowed the year-on-year decline in July substantially, the sales data released by two-wheeler companies on 1 August revealed.
Fuelled by the need of personal transportation amid the pandemic, cumulative sales of Hero Moto Corp, Honda Motorcycle and Scooter India (HMSI), TVS Motor and Royal Enfield increased to 769,045 units in July from 632,349 units in June.
The year-on-year decline also narrowed to 4.4 per cent in July from the high double-digit decline in the previous month. Auto companies in India report dispatch to dealers as sales. The sequential recovery for three straight months comes on the back of a zero-sales month in April which was induced by the nationwide lockdown.
The recovery in July was led by the top two companies in volume terms. Hero MotoCorp dispatched 506,946 units of motorcycles and scooters in July. This is 14 per cent higher than June and only marginally lower than last July’s sales.
HMSI, too, saw a strong sequential recovery. It dispatched 309,332 two-wheelers in July, up 53 per cent over 202,837 in June. The y-o-y sales decline in July narrowed to 32 per cent from 55 per cent in June.
Yadvinder Singh Guleria, Director – Sales & Marketing at HMSI said the intermittent regional lockdowns across India slowed down the retail momentum gained in June as the percentage of operational network dropped to 80 per cent in July.
“With India moving to Unlock 3.0, we are cautiously optimistic about the demand. While the physical inventory level at our dealerships is less than a month’s sales, giving us confidence is the growth in new inquiries on the back of increasing acceptability of Honda’s newly launched BS-VI models with advanced technology & features,” said Guleria.
TVS and Royal Enfield also saw recovery from the past month and reported a smaller decline in y-o-y sales as compared to June.