TVS Motor revenues raise 42 % in FY '10 - 11

Strong and complete product portfolio enabled TVS Motor Company to consolidate and achieve its stated guidance numbers of two million two wheelers during the year April 2010 to March 2011. New products, which were introduced during the year, were well received in the market, while current products gained momentum. The company witnessed expansion in its international business with entry in to new countries.

During the year ended March 2011, TVS Motor Company registered a growth of 32 percent in sales with overall two-wheeler sales growing from 15.19 lakh units in the previous financial year to 20.04 lakh units in the year ended March 2011. Motorcycles registered a growth of 31 percent increasing from 6.38 lakh units in the previous year to 8.33 lakh units in the year ended March 2011. Scooters grew at 51 percent from 3.1 lakh units in the previous year to 4.67 lakh units in the current fiscal. Three wheeler sales of the company grew substantially from 14700 units in the year ended March 2010 to 39200 units in the current year. The company's total revenue grew from Rs. 4430.14 crores in the year April to March 2010 to Rs. 6289.31 crores in the year ended March 2011. Profit Before Tax stood at Rs. 250.09 crores compared to Rs. 76.17 crores reported in the previous year. Profit After Tax during the year ended March 2011 stood at Rs.192.58 crores as against Rs. 88.01 crores registered in the corresponding period in 2009-10.

The company’s international business saw a significant increase with sales growing by 36 percent. During the year, the company’s two wheelers entered two more countries Mexico & Brazil. In Brazil, the distributor set up a motorcycle assembly plant that will significantly add to the sales. The company’s 3 wheeler entered Egypt during the year. The company exported 2.39 lakh units in 2010 - 2011 compared to 1.65 lakh units in 2009-10, a growth of 45 percent over the previous year.

New product launches during the year were mainly in the motorcycle segment with the introduction of TVS Max4R, TVS Apache RTR 180 ABS and TVS Sport with electric start. During the year, the company set a precedent, by introducing ABS (Anti-lock Braking System) on a motorcycle for the first time in the history of the Indian two wheeler industry. The company introduced ABS in its premium segment motorcycle TVS Apache RTR 180, giving the bike formidable stopping power and superior braking control that compliments its high performance capability.

During the year under review, the company launched a unique ‘Anywhere, Anytime Service’, for the first time in the three wheeler industry in India, for its three wheeler TVS King. The service has been launched in Chennai and Bangalore and is expected to be rolled out to other major cities during the year ending March 2012. Fully equipped service auto rickshaws with tools, spare parts and trained technicians are positioned at strategic locations to offer “service on call”. In the event of any emergency, all that a customer needs to do is to call a specific number and one of these mobile service auto rickshaws will attend to his problem in a matter of minutes.

PT TVS Motor Company Indonesia has so far sold over 50000 two wheelers. During 2010-11, PT TVS sold around 20,000 units compared to around 15,000 sold in the previous year. The company has three different products in its portfolio and will continue to add more in the future offering a complete product range for Indonesian customers. A super bebek with high tech engine and exciting features is in the pipeline and will be launched during 2011-12. The company is targeting markets outside Indonesia and will also increase its presence in more provinces, thereby increasing its network to 240 outlets by March 2012. This will lead to improved performance in 2011-12.

TVS Motor Company will further consolidate its position during 2011-12. While upgrades of existing models will be introduced across segments, two new two wheelers are expected to be launched during 2011-12. These products will help to significantly increase the market share of the company. While exports will continue to be the focus area of growth, the three wheeler business of the company is also expected to gain further momentum with products now being made available across the country.

Auto exports show 30% growth in 2010-11

Automobile exports from India grew at a robust 29.64 per cent in 2010-11 riding on two-wheelers and commercial vehicles despite a sluggish demand from Europe, one of the main markets for small cars.

According to the figures released by the Society of Indian Automobile Manufacturers (SIAM), total exports from the country stood at 23,39,333 units in last fiscal compared to 18,04,426 units in the year—ago period.

During the fiscal, commercial vehicles and two—wheeler sectors witnessed good growth in exports, SIAM President Mr Pawan Goenka told reporters here.

“The only low was the passenger vehicle segment, mainly because of slow recovery of the European market,” he added.

India’s total passenger vehicle exports during last fiscal were up by a mere 1.64 per cent at 4,53,479 units as against 4,46,145 units in the previous fiscal, SIAM said.

Passenger car exports from India touched 4,47,403 units in FY’11 as against 4,41,709 units in the previous financial year, up 1.29 per cent.

In 2010—11, India’s largest exporter Hyundai Motor saw a decline of 18.41 per cent at 2,33,069 units.

Domestic market leader Maruti Suzuki was a distant second, registering 6.93 per cent fall in overseas sales at 1,36,026 units in 2010—11.

However, exports growth in the last financial year was robust in the two—wheeler category, which registered 35.04 per cent rise at 15,39,590 units as against 11,40,058 units in the previous financial year.

The surge in two-wheeler exports was led by Bajaj Auto and TVS Motor Company with sales of their motorcycles and scooters in various overseas markets.

Bajaj Auto’s overseas two-wheeler sales rose by 34.11 per cent to 9,72,437 units from 7,25,097 units in 2009—10.

TVS Motor Company registered a rise of 38.52 per cent at 2,29,132 units as against 1,65,414 units in FY10.

Domestic market leader Hero Honda saw its bike exports increase by 36.20 per cent at 1,33,063 units against 97,699 units in the previous fiscal, SIAM said.

Commercial vehicles also registered a very robust growth at 69.51 per cent in exports during last fiscal at 76,297 units, compared to 45,009 units in 2009-10.

While light commercial vehicles saw an export jump of 91.28 per cent at 47,025 units, the medium and heavy commercial vehicles segment’s overseas sales grew 43.31 per cent at 29,272 units in 2010-11, SIAM said.

Three-wheeler exports rose by 55.86 per cent to 2,69,967 units from 1,73,214 units in the previous fiscal, it added.

Schrotter, who is in his fourth year in the 125cc Championship, was very happy with the bike's performance after the race.