Bajaj Auto, the country’s second largest two-wheeler manufacturer, is planning to almost double its domestic sales in the country by the second half of 2009-10 on the back of six new launches this year.
From an average of 1,10,000 units sold in domestic market in the last two months, the company plans to sell around 1,75,000 to 2,00,000 units post the launch of an all new bike in July and another motorcycle towards the end of 2009, a growth of 70% to 80%.
?From a low of 65,000 units in December, the company is now selling 1,10,000 to 1,15,000 units a month on the back of XCD that was launched in February. Going forward, the recently launched new range of Pulsar and two new motorcycles that we will be launched in July and around November will help us to increase our domestic sales to 1,75,000 to 2,00,000 units,? says Rajiv Bajaj, managing director, Bajaj Auto, speaking at the launch of all new Bajaj Pulsar 220cc.
The vehicle, which is priced at Rs 70,000 (ex-showroom Delhi) as against Rs 82,000 for the existing 220cc Pulsar, is without the fuel efficient technology. The company expects to sell 3,000-4,000 units of Pulsar 220cc a month as compared to 1,000 units earlier.
So much so is the optimism that the company expects to clock its highest ever sales this year. ?It is our internal estimate and anticipation that this year … in terms of sales and profitability it will be the best year in the history of Bajaj. That is our expectation based on new products and strategy that we have for the current year,? says Bajaj.
The company had posted a 13% decline in net profit for 2008-09 at Rs 656 crore as against Rs 756 crore in the preceding year mainly because of 11% decline in sales in the last financial year at 19,19,625 units vis-?-vis 21,61,095 units in 2007-08.
According to the Society of Indian Automobile Manufacturers, sales of Bajaj Auto declined by 12.95% in May at 1,14,122 units as against the 12.45% growth in total two-wheeler industry at 7,27,937 units.
The company has a total installed capacity of 2,50,000 to 2,60,000 units.