The second largest two wheeler maker in India, Bajaj Auto LTD. posted a record Q2 profit of Rs 682 crore, 69 per cent above the Rs 403 crore recorded in the same quarter of the previous fiscal year. The company has achieved sales of 1 million units in the second quarter of the current fiscal, grabbing market share in the motorcycles market. Bajaj’s market share in the motorcycles market grew from 29 per cent in the second quarter of last year to 34 per cent in the quarter ended September 30, 2010.
Bajaj auto has nine models in the motorbike segment and two models in the three-wheeler segment, which includes goods and passenger vehicles having multiple variants. Thanks to the sustained demand for price efficient motorbike brands including Pulsar and Discover helped the firm to improve its EBITDA margins to 20.7 percent during the second quarter compared to the 20 percent posted in the first quarter. S Ravikumar, senior V-P (Business Development and Assurance), Bajaj Auto Limited said: “We are optimistic of selling four million units this financial year. We have targeted an export volume of 1.2 million units. Therefore, we should be able to post sales growth higher than the industry in the second half of the year”.
he four million projection given by Ravikumar includes 3.6 million two-wheelers and four lakh three-wheelers. When pointed out that Bajaj Auto had a market share of 34 percent that is close to the firm’s record high of 35 percent in the recent past, the official said the company is not looking for any phenomenal increase at least in the forseeable future.
