Royal Enfield Posts Highest-Ever Monthly Sales Numbers

Royal Enfield has posted what is the company's highest-ever sales numbers in a single month, selling 60,142 bikes in April 2017. Out of these numbers, sales in the domestic market alone accounted for 58,564 bikes, recording a growth of 25 per cent in the same period a year ago. In April 2016, Royal Enfield sold a total of 48,197 bikes. The sales are largely led by the best-selling Royal Enfield Classic 350, which made up over 68 per cent of Royal Enfield's sales in FY 2017. In all, the Royal Enfield Classic 350 sold 4,16,693 bikes in the period from April 2016 to March 2017.

However, sales of Royal Enfield motorcycles above 350 cc declined by 23 per cent in April 2017, as only 3,793 bikes in this category were sold in that month, compared to 4,938 bikes in the same category in April 2016. Royal Enfield models above 350 cc category include motorcycles such as Royal Enfield Himalayan, Royal Enfield Classic 500, Royal Enfield Bullet 500, Royal Enfield Thunderbird 500 and Royal Enfield Continental GT. Nevertheless, most Royal Enfield motorcycles, particularly the 350 cc models, command a waiting period of 3-4 months across dealerships in the domestic market.

Royal Enfield Classic 500

Royal Enfield's exports also grew by 36 per cent, as the company exported 1578 bikes in April 2017 to markets abroad, including Europe, US, Australia and Latin America. In April, Royal Enfield also expanded its global footprint, opening its second direct distribution subsidiary outside India, in Brazil. Royal Enfield's first direct distribution subsidiary outside India was Royal Enfield North America (RENA) that was set up in 2015.

Royal Enfield is known as one of the most profitable automobile brands in the world with compounded annual growth rate (CAGR) of over 50 per cent in the last six years. In all, over 6.6 lakh Royal Enfield motorcycles were sold across the world in 2016-17. The company is planning to ramp up its production to nearly 9,00,000 motorcycles by the end of 2018. Royal Enfield is now looking at strengthening its global presence as a manufacturer of mid-size motorcycles. The next Royal Enfield motorcycle is expected to be powered by a 750 cc parallel-twin engine, and will be the company's flagship product.