Hero MotoCorp Q2 Review - Beat Estimates, Play On Rural Recovery: Dolat Capital

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..Dolat Capital Report.Hero MotoCorp Ltd.'s Q2 numbers beat estimates led by better than expected net average selling price (strong spare parts revenue and price hike) and efficient cost management (leap saving 320 basis points YoY). Gross profit per vehicle was up by 10.7% QoQ to Rs 16,28000/vehicle.Management stated that festive period demand (Navratra and Diwali period) was muted as delayed monsoon and increased price hit rural demand. However rural demand to pick up from hereon led by record Kharif harvesting and marriage season demandRaw material cost inflation continued to pose a challenge, commodity inflation was partly mitigated by price hike (Rs 3000/ vehicle in H1 FY22 and leap saving of 320 bps YoY). Price increases have to be calibrated as retail demand is weak, and might be required to be phased out.Hero MotoCorp’s sustained efforts to expand its footprint in exports, premium bikes, scooters and electric vehicle augur well. .Click on the attachment to read the full report:.DISCLAIMERThis 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.

Hero MotoCorp Q2 Review - Beat Estimates, Play On Rural Recovery: Dolat Capital

Hero MotoCorp Q2 Review - Beat Estimates, Play On Rural Recovery: Dolat Capital

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