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Hero MotoCorp Gears Up for FY24 With Focus on Premium Bikes

Hero MotoCorp sets ambitious plans for FY24, targets premium segment

Hero Motocorp's Vision for FY24

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Hero Motocorp is preparing to launch its largest number of models ever in FY24 in an effort to strengthen its position in the market, particularly in the premium motorcycle segment, according to Hero MotoCorp CEO Niranjan Gupta. The company plans to unveil nearly twelve new motorcycles and scooters, including the revival of the legendary Karizma and the first product resulting from the partnership between Hero MotoCorp and Harley-Davidson for the Indian market. The collaboration was announced by the two companies in October 2020.

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Although Hero MotoCorp currently holds a dominant position in the low-cost bike segment (100-110cc), it aims to expand its market share in the 125cc category and introduce new models to increase sales volume. The company also plans to concentrate on premium bikes with engine capacity ranging from 150cc to 450cc. “We’ll have product launches every quarter of this fiscal year. Probably this fiscal, we’ll see the maximum number of launches ever seen in the company’s history,”  said Gupta during an analyst call. He added that the company is optimistic about growth prospects this year and is determined to strengthen its position across all segments.

In May, Hero MotoCorp announced its standalone net profit for Q4FY23 at Rs 859 crore, a 37 percent YoY increase from Rs 627 crore reported in the same quarter of the previous year. Revenue from operations also saw a rise of 12 percent, coming in at Rs 8,307 crore compared to Rs 7,421 crore reported in the year-ago quarter. “We are enthusiastic about the upcoming fiscal year and are looking forward to expanding our market share and increasing our margins. We have several new launches scheduled and plan to introduce new products every quarter during this fiscal year,” stated Gupta.

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Hero has announced plans to launch its electric brand VIDA in 100 cities across India by 2023. The company will utilize its extensive distribution network to expand its presence in the EV market.

Gupta remarked on the business outlook, stating that despite facing challenges, the Indian economy remains robust and among the world’s fastest-growing major economies. He mentioned that the economy is progressing positively, and the company anticipates double-digit revenue growth in the two-wheeler industry this year. Currently, Hero MotoCorp holds approximately 51 percent of the overall motorcycle market share.