Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
Stock Report

| More

Eicher Motors Limited announces financial results for the quarter ended June 30, 2020

Posted On: 2020-08-13 05:17:16

Eicher Motors Limited (EML) today announced its audited consolidated financial results for the quarter ended June 30, 2020.

For the quarter ended June 30, 2020, Eicher Motors' total revenue from operations was recorded at Rs. 818 crores, down by 66% as compared to Rs. 2,382 crores in the corresponding quarter of FY 2019-20; EBITDA was Rs. 4 crores as compared to Rs. 614 crores in the same quarter of the previous financial year; Loss of Rs. 55 crores against profit of Rs. 452 crs during the same period last year. Royal Enfield sold 58,383 motorcycles in the quarter, a decline of 68% from 181,966 motorcycles sold over the same period in FY 2019-20.

Commenting on Eicher Motors' performance, Siddhartha Lal, Managing Director of Eicher Motors Ltd, said, "The previous quarter put forth unprecedented challenges for the industry and for Eicher Motors. However, we believe that the long term potential for both Royal Enfield and VECV is very promising. Towards the end of the quarter we've witnessed encouraging consumer sentiment which was evident in our sales for the month of June. We believe that this trend will continue into this quarter as well. International business at Royal Enfield is doing extremely well, led by the modern 650 Twin motorcycles and the Himalayan. The Interceptor 650 has been the highest selling motorcycle in the middleweight segment in the UK for the last one year. At VECV, we have always remained focused on our long term plans and have rolled out initiatives to improve efficiencies, productivity and further upgrade processes. We are very happy to announce that VECV has signed a definitive agreement with Volvo Group India Pvt Ltd. for acquisition of its bus business under Volvo Buses India. This is a momentous occasion for us. We believe this integration will be instrumental in shaping the future of the Indian bus industry"

Speaking on Royal Enfield's performance, Vinod K. Dasari, CEO, Royal Enfield said, "Through a challenging environment, we've remained focused on the opportunities for Royal Enfield. We've worked on strengthening our relationship with our customers and have ensured full support to our network partners. From a consumer point of view, our effort has been to build seamless and hasslefree processes and focus on retail and service excellence. We have launched several initiatives that offer contactless purchase and service experience for the consumer, including the Service on Wheels initiative launched recently. From a business point of view the initial consumer sentiment over the last two months has been very encouraging. Demand from semi-urban and rural towns have picked up well, and our network of studio stores across the country have been able to cater to this demand. There is pent up demand and we are optimistic about stronger recovery once supply chain stabilizes."

Royal Enfield's manufacturing units resumed operations on May 06, 2020 after being suspended on March 23, 2020. Retail operations have also resumed through the unlock phases in a staggered manner. We now have 921 dealerships and 638 studio stores open and functional across the country.

To enhance customer experience and ensure safety and convenience, Royal Enfield announced several initiatives to offer contactless purchase and service. Through digital and online conveniences and 'At-your-doorstep' services, the aim is to provide customers with a seamless and hassle-free discovery, purchase and ownership journey. Royal Enfield also launched Service on Wheels, a fleet of mobile, service-ready motorcycles, across the country for safe and hasslefree service experience at customers' doorstep. 800 units of Service on Wheels motorcycles capable of undertaking upto 80% of all typical service and repair requirements have been deployed across dealerships.

Last quarter, Royal Enfield announced the launch of its first-ever exclusive Women's Apparel and Riding Gear range. The collection has been purpose built to suit women's riding comfort, inspired by the motorcycling way of life.

With the lockdown easing up in parts of the country, the second edition of the Royal Enfield Slide School was kicked off at the Big Rock Dirt Park, Bengaluru. An engaging and accessible platform to encourage and grow the interest for flat-tracking in India, the second edition saw enthusiastic participation.

For the quarter ended 30 June 2020, VECV's revenue from operations was Rs. 641 crores, down by 72% from Rs. 2,255 crores in the same period last year; EBITDA loss was Rs. 72 crores as against profit of Rs. 137 crs last year in the corresponding quarter. Loss of Rs. 120 crs against profit of Rs. 38 crs last year. VECV registered an 84% decline in sales with 2,129 units as against 13,331 units in the Q1 of last year. The company however, outperformed the industry which saw a 91% drop in volumes. The company's manufacturing facilities have resumed operations with the gradual easing of restrictions.

Speaking on VECV's performance Vinod Aggarwal, MD and CEO VECV said "The last quarter has been challenging for the commercial vehicle industry with almost complete wash out in the first two months of the quarter on account of the pandemic. Since the economic activity was impacted, movement of goods and services was also severely impacted. As a result, the industry has witnessed one of the worst quarters with an overall volume decline of 91%. We expect the situation to gradually improve starting from the festive months led by infrastructure investments and strong pent up replacement demand. At VECV, we continued to work towards our vision of modernization in commercial transportation by becoming the first in the industry to offer 100% connected vehicles to customers. This is a significant achievement and will drive both value and profitability".

VECV has signed an agreement for the integration of Volvo Bus India (VBI) business into VECV. This will cover the manufacturing, assembly, distribution, and sales of the Volvo Buses in India, and other rights forming part of the business. Consequently, the bus manufacturing facility at Hosakote, Bengaluru, and all employees of VBI will be transferred to VECV. VBI is currently a division of Volvo Group India Private Limited (VGIPL).

With successful migration to BS VI technology effective 1st April, 2020, VECV has received an encouraging response from customers on Eicher's new BSVI range - EUTECH6. VECV has now become the first company in the CV industry to offer 100% connected vehicles to its customers. With the advanced EUTECH6 technology backed up by connectivity, VECV is committed to take the productivity of products to new heights by facilitating best in class Fuel Management, Uptime Management and Trip Management thus helping customers to derive maximise profitability.

Shares of EICHER MOTORS LTD. was last trading in BSE at Rs.21640 as compared to the previous close of Rs. 22104.05. The total number of shares traded during the day was 5023 in over 2144 trades.

The stock hit an intraday high of Rs. 22282.4 and intraday low of 21579.8. The net turnover during the day was Rs. 109897457.

Source: Equity Bulls

Click here to send ur comments or to

Other Headlines:

ITC Ltd increases stake in Delectable Technologies Pvt Ltd

PNB associate bank, JSC Tengri Bank's License revoked

ITC Ltd.'s Sunfeast YiPPee!'s 10th Anniversary celebrations make a GUINNESS WORLD RECORDS® achievement

RITES Ltd board approves buy back through tender offer at Rs. 265

Route Mobile Limited shares to list on Monday - Sep 21, 2020

Mysore Petro Chemicals Limited to write-off GBP 770,000

Somany Ceramics adds a dash of style at T2, Mumbai Airport.

United Spirits Ltd announces resignation of CFO

Lords Chloro Alkali Ltd posts loss of Rs. 1.08 crore in Q1FY21

Zydus Cadila receives final approval from USFDA for Potassium Chloride Extended-Release Tablets

ICRA upgrades rating of Escorts Ltd

Bhatia Mobile to Migrate to main board of BSE

Avantel Ltd receives order of Rs. 15.97 crore from Bharat Electronics Ltd

Magna Electro Castings Ltd board approves buy back at Rs. 175

TATA Tea Chakra Gold Becomes Official Tea Partner for Chennai Super Kings in IPL 2020

Tiger Logistics India Limited provides future Business Outlook

Dr. Reddy's Laboratories announces settlement of U.S. Revlimid® Capsules patent litigation with Celgene

TVS Motor Company expands and strengthens its presence in Colombia

ICICI Securities successfully closes ~INR 6,000 mm IPO of Route Mobile Limited

EIH Limited approves rights issue, fixes Sep 23, 2020 as record date

Hindalco and Hindustan Copper sign MoU for supply of copper concentrate

Kilpest India Limited to merge subsidiary with itself, change name as 3B BlackBio Dx Ltd

Sterling and Wilson Solar Limited Signs order of 106.71 MW worth USD 62.6 mn in Chile

South Korea donates One lakh masks to TVS Motor Company for free distribution to aid India's fight against COVID-19

TCS Recognized as a Leader in Cloud-Native Application Development Services by Everest Group

Power Grid Corporation of India Ltd receives approval for setting up of InvIT

Mahindra Happinest® sells 100+ homes online within a week at 'Happinest Palghar'

Ramco Systems signs agreement with Arla Foods

IRCON International Ltd secures order worth Rs. 1900 crore

Phoenix Group Partners with TCS to Introduce Enhanced Analytics for Workplace Pension Clients

L&T Construction secures order from Northern Coalfields Ltd

Dr. Reddy's announces the launch of Over-the-Counter Olopatadine Hydrochloride Ophthalmic Solution USP, 0.2% and 0.1%, the store-brand equivalent of Pataday®, the Eye Allergy Drop in the U.S. Market

Ashok Leyland receives an order for 1400 ICVs from Procure Box

PTC India Financial Services Ltd receives Rs. 115.57 crore IT refund

Thomas Cook India & SOTC partner with India's favourite storyteller Amar Chitra Katha

Shankar Lal Rampal Dye-Chem Ltd Board to consider Bonus Issue of Equity Shares

Dhanuka Agritech Ltd fixes Sep 28, 2020 as record date for buy-back

Sterling and Wilson Solar Limited declares financial results for quarter ending 30th June 2020

JMC secures new orders of Rs. 1,342 Crores

ABM Knowledgeware Ltd bags Rs 127.44 Crores order for SAP Technology Modernization

Titan Company with SBI launches India's first contactless payment watches

Bajaj Consumer Care Joins hand with IndiaMART, to enhance their digital presence in B2B market segment

ICICI Securities successfully closes ~INR 7,020 mm IPO of Happiest Minds Technologies Limited

The Bank of Bahrain and Kuwait goes live with iGTB's Contextual Digital Transaction Banking platform to support growth

HCL and Google Cloud Expand Partnership to Deliver Accelerated Business Intelligence Platform

CARE Ratings reaffirms 'CARE A-' rating with stable outlook for Jindal Stainless (Hisar) Limited

CRISIL upgrades long term outlook of Deepak Nitrite Ltd

HSIL Ltd Board to consider Buyback of equity shares

Subex launches Partner Ecosystem Management platform

ICRA assigned Credit Rating for Rs. 395.00 crore Line of Credit of Action Construction Equipment Ltd

Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2019