Royal Enfield is slowly thumping back on the path to recovery, even as the Indian automotive industry is still reeling from the effects of the coronavirus pandemic and consequent lockdown. In August 2020, Royal Enfield breached the 50,000 volume in motorcycle sales, compared to 52,904 motorcycles the company had sold in the same month a year ago. In the domestic market alone, Royal Enfield managed to despatch 47,571 motorcycles in August 2020, compared to 48,752 motorcycles in August 2019, a drop of just 2 per cent.
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While Royal Enfield has been steadily growing its overseas footprint before the pandemic, exports took a beating in percentage terms in August 2020, with just 2,573 motorcycles sold in overseas markets. In comparison, Royal Enfield had despatched 4,152 motorcycles in August 2019. Although export volumes are just a small fraction of overall sales, August 2020 exports skidded by 38 per cent.
The full impact of the pandemic though is reflected in the year-to-date numbers, where Royal Enfield's overall sales numbers reflect the effect. In the April to August 2020 period, Royal Enfield sold 1,47,747 motorcycles, compared to 2,90,798 motorcycles in the same period a year ago, a decline of a whopping 49 per cent. In the domestic market alone, Royal Enfield's sales from April to August 2020 fell by 48 per cent, from 2,72,364 motorcycles in the same period a year ago, to 1,40,435 motorcycles this year. Exports in the same period fell by 60 per cent, from 18,434 motorcycles to just 7,312 motorcycles in the April to August 2020 period.
The good news is that Royal Enfield's monthly sales seem to be on the road to recovery, from 38,065 units in June 2020, to 40,334 units in July 2020 to 50,144 units in August 2020. On the occasion of Onam, Royal Enfield delivered over 1,000 motorcycles in a single day in Kerala on August 30, 2020. With the festive season around the corner, and the new Royal Enfield Meteor 350 to be launched soon, the next couple of months should kick off a period of recovery for Royal Enfield's domestic sales.