Hero MotoCorp Ltd.’s sales declined in October as the festive demand tapered after strong despatches last month.
The country’s largest two-wheeler maker sold 6.3 lakh units in October, a decline of 4.8 percent from the corresponding month in the previous year, according to its stock exchange notification. October has been a mixed bag for most auto companies as the festive demand has been spread over two months due to the early onset of the festival season in September.
Sales were led by the demand of Splendor, Glamour, Passion and HF Deluxe motorcycles as well as the Duet, Maestro Edge and Pleasure scooters, the company said.
There has been good improvement in the consumer sentiment in both the rural and urban markets and we are confident of carrying forward our sales momentum into the months ahead.Ashok Bhasin, Head of Sales-Marketing and Customer Care, Hero MotoCorp
Brokerage and research firm credit Suisse expects traction in two-wheeler volumes in the second half of the financial year and that the product launches should help further, according to a research report.
Hero MotoCorp announced flat net profit growth in the second quarter yesterday, missing analyst estimates.
Shares extended declines for the second day and fell as much as 2.8 percent, the most in over a month to Rs 3,714 after the sales announcement.