Hero MotoCorp reported highest ever net profit and revenue growth for FY24. For Q4FY24, one of the world’s largest manufacturer of motorcycles and scooters reported net profit of Rs 943.46 crore in Q4 FY24, up 16.4% YoY from Rs 810.80 crore in Q4FY23. The consolidated revenue for the quarter stood at Rs 9,617 crore, a growth of 14% over Rs 8,434.28 crore it reported in Q4 of FY23. The strong earnings performance was powered by aggressive product launches through the year as well as a bump up in its retail strategy.
Aggressive product launch strategy
In FY24, Hero MotoCorp launched as many as six new products in the premium segment incuding Xtreme 125R, Xtreme 200S, Xtreme 160R 4V, Harley-Davidson X440, Karizma XMR and the Mavrick 440. The company also upgraded its retail network with Premia outlets and the launch of over 400 Hero 2.0 stores. In keeping with its aggressive product strategy, the company also unveiled its future roadmap at the EICMA Motor Show in Milan and at its own bi-annual event Hero World. It showcased the world’s first class-convertible vehicle – Surge S32, EV concepts – Lynx and Acro – flex-fuel options for popular motorcycle models and its upcoming range of scooters – Xoom (125 & 160), new VIDA V1 and V1 Coupe.
Future plans
The company expanded its emerging mobility brand, VIDA, Powered by Hero, to over 100 cities in the country. It also expanded the charging network to over 2000 charging points in over 100 cities along with Ather Energy. Hero MotoCorp bolstered some of its key international markets such as Nepal, Costa Rica, by appointing new distributor partners.
Speaking about the company’s performance, Niranjan Gupta, Chief Executive Officer (CEO), Hero MotoCorp, said, ““Moving forward, we expect the macro‐economic factors to aid the industry’s growth. With commodity prices remaining stable, expectations of normal monsoons, and government spending expected to increase, we see multiple tailwinds for the sector over the upcoming quarters. We will be driving market share gains on the back of our launches in premium and 125 cc segment done in FY 24. Further, we are going to boost scooter portfolio by launching Xoom 125 cc and Xoom 160 cc in first half of the fiscal. Coming year will see us taking big strides in EV, through product launches in mid and affordable segment. Overall, we see a very positive outlook for upcoming years.”
