Bajaj Auto Q4 Review - Margin Resilience Driven By Exports: ICICI Securities
Bajaj Auto Ltd. Pulsar motorcycles sit ready at the end of the assembly line at the company’s factory in Pune, India. (Photographer: Kuni Takahashi/Bloomberg)

Bajaj Auto Q4 Review - Margin Resilience Driven By Exports: ICICI Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

Bajaj Auto Ltd.’s Q4 FY21 margins were a beat on consensus expectations at 17.7% (down 65 basis points YoY).

The company’s margin resilience was driven by -

  1. rise in export mix (up 340bps YoY at 46.4%) and
  2. increased share of Pulsar-125cc has led to superior domestic motorcycle mix (share up 13.7% to 26.3%).

Management’s focus on building on electric vehicles starting with Chetak is a long-term positive.

They believe existing incumbents are well placed in terms of technology/distribution and brand to handle the potential entry of private equity-backed start-up companies in two-wheelers.

Click on the attachment to read the full report:

ICICI Securities Bajaj Auto Q4FY21 Results Update.pdf


This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

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