Hero MotoCorp - Focus On Festive Season: Systematix
A Hero MotoCorp Ltd. Xtreme 200R motorcycle, left, stands on display in Noida, India. (Photographer: Anindito Mukherjee/Bloomberg)

Hero MotoCorp - Focus On Festive Season: Systematix

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.

Systematix Research Report

Key takeaways from our meeting with the management of Hero MotoCorp Ltd. are-

  1. rural sales (especially in the economy segment) remain weak in year-to-date FY22 due to the impact of the second wave of Covid-19 and the high base of last year;

  2. urban sales are showing signs of recovery after a weak FY20-21.

Consequently, Hero MotoCorp has lost some of the market share it gained last year. However, the management expects demand recovery in the festive season based on hopeful economic indicators (normal Kharif sowing and decent reservoir levels).

While commodity prices are stabilising at current levels after a steep rise over the last year, further impact is expected in Q2 and the company is looking at various options to mitigate it.

Click on the attachment to read the full report:

Systematix Hero Motocorp - Company Update.pdf

DISCLAIMER

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.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.