Hero MotoCorp Shares Dip Over 4% Despite Strong October Sales Surge

Hero MotoCorp, the world’s largest motorcycle and scooter manufacturer, saw its stock dip by over 4% on November 04, 2024, to an intraday low of₹4,791.95 on the BSE, despite reporting a solid 18% growth in sales for October. The company sold 6,79,091 units, up from 5,74,930 units in October last year. This rise is largely due to strong demand from both urban and rural areas, particularly for its popular 100cc and 125cc models during the festive season.

Motorcycle Sales Lead, VIDA Electric Sets Record

Motorcycles led the sales growth, with 6,35,787 units sold, an increase from 5,29,341 in the previous year. However, scooter sales slipped slightly to 43,304 units from last year’s 45,589. Hero’s electric vehicle (EV) brand, VIDA, reached new heights with its highest-ever monthly dispatches at 8,750 units in October.

Domestic and Export Sales Surge

Domestic sales rose to 6,57,403 units from 5,59,766, while exports grew significantly to 21,688 units, up from 15,164 last year. Year-to-date sales for FY25 also show an increase, with 37,33,931 units sold compared to 33,44,030 in the same period last year. The company noted record sales during the Dhanteras festival, highlighting strong festive demand.

Hero MotoCorp also continued expanding its premium dealership network, adding 9 new “Premia” outlets across India in October. It aims to reach 100 such outlets by March 2025, making its premium bikes more accessible to customers.

About Hero MotoCorp

Hero MotoCorp, initially known as “Hero Honda,” was one of India’s earliest motorcycle manufacturers. The company began in 1984 through a technology partnership with Japan’s Honda. Before this, Hero sold bicycles under the “Hero Cycles” brand. In 2011, Honda sold its 26% stake in the company back to the Munjal family, who were the original promoters, ending the joint venture. Following this split, the company was renamed Hero MotoCorp.

On November 04, 2024, Hero Motocorp Ltd share price opened at ₹5,127.50 and touched the day low of ₹4,726.50 at 02:21 PM on the NSE. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.