Royal Enfield reports total sales growth at 84 percent for March 2021, and 12 percent decline through FY21
With FY21 drawing to a close, auto manufacturers have found themselves riding a wave of heightened activity. Royal Enfield reported domestic sales of 60,173 units in March 2021 at 84.41 percent growth. Sales grew from 32,630 units at volume growth of 27,543 units. Exports grew to 5,885 units, up from 3,184 units.
For Royal Enfield, the exports market is a key focus area. The company not only plans to enter more foreign markets but is using its expertise to gain global market share in the mid-segment. Its export market numbers are contributed by the above 350cc offerings it has introduced in overseas markets.
Volume gain stood at 2.7k units at 84.83 percent growth. For the month, domestic sales accounted for 91 percent of total business, and exports for 9 percent. Total sales was up at 66k units at 84.45 percent growth. Sales rose from about 36k units at volume growth of just over 30k units.
Dominance in below 350cc segment
Of total sales, the upto 350cc segment is where Royal Enfield enjoys market dominance. The segment accounted for 88.51 percent of total business in March 2021. In this segment RE sells Classic, Meteor, Electra and Bullet. The above 350cc segment account for 11.49 percent of total Royal Enfield sales. In this segment, RE sells Himalayan and 650 Twins.
Royal Enfield reported wholesales in the 350cc segment at 58,471 units at 92.52 percent growth. Sales grew from 30,372 units at volume growth of about 28k units. In the bigger segment, volumes are reported at 7,587 units at 39.42 percent growth. Volume grew from 5,442 units at volume gain of 2,145 units.
While YoY wholesales were in the green, MoM numbers declined from a total of 69,659 units. Volume decline stood at 3,601 units at about 5 percent decline. MoM exports grew by 29.48 percent, up from 4,545 units at volume gain of 1,340 units. MoM domestic wholesales fell from 65,114 units. Volume decline is reported at 4,941 units at 7.59 percent de-growth.
The above 350cc segment grew by 43.23 percent, up from 5,297 units at volume gain of about 3.3k units. The below 350 segment witnessed decline of 9.15 percent. Volumes fell by 5,891 units from 64,362 units.
Following a slow start to the fiscal wherein business activity was reduced to a nought, it’s been a difficult year to play catch up or report overall growth. For FY21, Royal Enfield reported total sales of 6,12,350 at 12 percent decline, down from 6,95,959 units in FY20. Of this, exports accounted for 38,622 units. down 2 percent from 39,208 units reported in the previous fiscal. Domestic sales decline is reported at 13 percent, down at 5,73,728 units, down from 6,56,651 units.