Bajaj Auto's domestic business continues to show momentum, registering its ninth successive quarter of double-digit growth. This growth spans across motorcycles, commercial vehicles, and electric scooters, with the electric portfolio comprising 14% of domestic revenues this quarter, up from 6% in Q1 FY24 and 2% in FY23. Exports also grew double digits year-on-year, particularly in Latin America, which has become the largest region for Bajaj this quarter.
In a discussion with Dinesh Thapar, Chief Financial Officer of Bajaj Auto, the company's strong footing and growth strategies were highlighted. He noted the significant increase in market share for electric three-wheelers, which rose to 30% by the end of June, up from 18-19% at the end of March. This progressive share gain in electric three-wheelers has been driven by an expanded footprint and network, replicating the success seen in internal combustion engine (ICE) three-wheelers.
Chetak, Bajaj Auto's electric scooter, has doubled its volumes year on year. Despite the transition between FAME and EMPS, which saw a spike in volumes in March, Chetak delivered around 40,000 units this quarter, compared to 20,000 units the same time last year. Bajaj is now leveraging its extensive motorcycle network to enhance the availability and penetration of Chetak, expanding from 200 touch points in March to nearly 500 by the end of June, with plans to reach 700 by September and October.
On the financial front, Bajaj Auto maintains a strong balance sheet with cash reserves of INR 17,000 crore. This follows a substantial investment of INR 505 crore into Bajaj Auto Credit, the company's wholly owned subsidiary, which aims to provide customer financing solutions across the country. This expansion is expected to be completed by March next year. The recent launch of the Pulsar NS400Z has further bolstered this portfolio.
Commercial vehicles also saw double-digit growth, with over 100,000 units delivered in a quarter for the fourth consecutive time. The electric three-wheeler segment has expanded rapidly, now present in approximately 200 cities, capturing a 30% market share.
In the electric two-wheeler segment, while the market remains challenging due to fluctuating consumer pricing, Bajaj Auto continues to focus on cost reduction and product development to eventually achieve profitability. The electric three-wheeler segment, however, is already profitable, matching the margin profile of the ICE three-wheelers.
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