- Apache, Jupiter, XL Super give a boost
TVS Motor sales in July 2020 grew 27 percent MoM over June 2020. Sales in July 2020s reported at 2,52,744 units. Sales in June 2020 was reported at 1,98,387 units. YoY July sales declined 9.56 percent, down from 2,79,465 units sold in July 2019.
Two-wheelers sales is reported at 2,43,788 units in July 2020, down 8.23 percent from 2,65,679 units in July 2019. Domestic two-wheeler sales stood at 1,89,647 units at 9.03 percent sales decline, down from 2,08,489 units in July 2019. Jupiter was the best selling TVS scooter while Apache was the best selling motorcycle.
Motorcycle sales fell to 1,06,062 units, down 1.98 percent from 1,08,210 units in July 2019. Scooter sales fell to 78,603 units at 25.28 percent sales decline from 105,199 units in July 2019. For July 2020, TVS reported 8,956 three-wheeler units sold, down 35.03 percent from 13,786 units sold in July 2019. Moped sales (TVS XL Super) for July 2020 stood at 59,123 units as against 52,270 units - registering 13% growth.
Exports fell to 62,389 units from 69,994 units in July 2019, down 10.86 percent. Two-wheeler exports fell to 54,141 units from 57,190 units at 5.33 percent sales decline. TVS exports for Q1 FY21 is reported at 69,544 two-wheelers at 60 percent YoY decline, and 10,926 three-wheelers, down 70 percent YoY decline. In FY20, TVS exported 6.79 lakh two-wheelers, up 9.2 percent YoY. Three-wheeler exports were up 16 percent at 1.62 lakh units. Exports will also be focused from TVS' Indonesia unit.
Q1 FY21 Financial Report
For the quarter ended June 2020, domestic sales and exports were in the red. TVS reported net standalone loss at Rs 139.07 crore for Q1 FY21, In Q1 FY20, the company had reported Rs 142.30 crore net profit. Revenue from operations fell 67.96 percent YoY to Rs 1,431.73 cr for the quarter ended June against Rs 4469.8 cr revenue in the quarter ended June 2019. Net Sales is Rs 1,939.65 cr, down 61.35 percent from Rs 5,018.34 cr in Q1 FY20. Quarterly Net Loss is Rs. 179.37 crore, down 222.52% from Rs. 146.40 crore in June 2019. EBITDA is reported at Rs. 80.26 cr, down 85.87 percent from Rs. 567.98 crore the quarter ended June 2019.
The company says, "This quarter is not a representative quarter due to COVID-19 related shut down for major part of the quarter. Both production and sales were severely impacted during the quarter and therefore reflects what was an unprecedented situation."
Following complete lockdown, production was restarted in a phased manner across its various plants here. The situation further stabilized in June. Supply chain issues would be better managed in Q2 FY21. TVS Motor Company Ltd is keen on improving its overseas market presence, with focus on Africa and Latin America.
Total two-wheeler sales including exports fell to 2.55 lakh units, down from 8.84 lakh units reported in Q1 FY20. Motorcycle sales fell to 1.19 lakh units from 4.17 lakh units sold in the quarter ended June 2019. Scooter sales fell to 82k units, down from 2.95 lakh units in the quarter ended June 2019. Total exports fell to 0.81 lakh units, down from 2.09 lakh units sales in Q1 FY20. Three-wheeler sales fell to 12k units, down from 40k units exported in Q1 FY20.
As part of its strategic partnership with BMW, the manufacturer has manufactured 72,000 bikes (G310R + G310GS) to date. In April 2020, the company acquired Norton.