Two-Wheeler Sales August 2020: Hero MotoCorp Registers 7.5 Per Cent Year-On-Year Growth

Witnessing growth once again, Hero MotoCorp's sales in August 2020 increased by 7.55 per cent as compared to August 2019, while monthly sales increased by 13 per cent as compared to July this year.

By Sameer Contractor

1 mins read

Published on September 2, 2020

Highlights

Hero MotoCorp reported positive growth after months of declining sales
Domestic sales grew by 8.5% year-on-year, while exports dropped by 18.6%
Motorcycles continue to be the growth driver for Hero MotoCorp

Hero MotoCorp reported positive growth in monthly and year-on-year sales in August 2020, as the industry recovers from the Coronavirus pandemic. The world's largest two-wheeler maker reported a total sale (domestic + exports) of 584,456 units last month, witnessing a growth of 7.55 per cent over August 2019. The company's month-on-month sales also increased by 13 per cent over July 2020, when the company sold 514,509 units. It needs to be noted that Hero MotoCorp and by extension the two-wheeler sector was going through a lull period last year and sales in August 2019 were already down by 20.6 per cent. However, it is heartening it to see the manufacturer reporting sales growth once again as the two-wheeler sales head towards course correction. Also Read: Car Sales August 2020: Maruti Suzuki Finally Sees Y-o-Y Growth After 6 Months Hero MotoCorp's domestic sales for August 2020 hiked by 8.5 per cent with 567,674 units sold, as against 524,003 units sold in August last year. Exports for the company, however, did see a significant drop of 18.6 per cent in overall volumes. Hero shipped 15,782 two-wheelers last month, as against 19,403 units a year before. The recently launched Hero Xtreme 160R received a positive response in August this year with motorcycle sales witnessing an uptick of 9.2 per cent In the motorcycle space, Hero's sales in August 2020 stood at 544,658 units, an uptick of 9.2 per cent over the same period last year. Meanwhile, scooter sales stood at 39,798 units last month witnessing a decline of 11.28 per cent, as compared to 44,859 units sold in August 2019. Also Read: Two-Wheeler Sales August 2020: Suzuki Registers 19 Per Cent Drop In Y-o-Y Sales That said, Hero MotoCorp said that it is witnessing a strong retail off-take and is operating in a pull market with rural and semi-urban centres driving demand. With the festive season coming up, the company anticipates a similar growth trajectory along with increasing customer confidence and government policy support. Hero says that is now operating at nearly 100 per cent production capacity while all its customer touchpoints are open amidst the new normal.