Bajaj Auto sales fall,Q2 net up 2

Net sales was lower by 7.1 per cent to Rs 4,817.07 crore in the second quarter compared to Rs 5,185.36 crore a year ago,while operating profit slipped 6.6 per cent to Rs 874.17 crore from Rs 936.05 crore in the year-ago period.

Other income and investment income of Rs 166.72 crore propped up profit before tax to Rs 1,040.89 crore compared to Rs 1,018.43 a year ago. The companys export revenues too slipped 4 per cent to Rs 1,665 crore during the quarter.

A decline in motorcycle sales in the domestic market combined with a steep fall in commercial vehicle CV exports pulled down the total sales numbers down 10 per cent.

Domestic motorcycle sales were 12 per cent lower in Q2 this year while exports were down 5 per cent. Motorcycle exports to Sri Lanka,which used to clock an average sale of 12,000 units,was down to 6,500 motorcycles.

Similarly,CV exports saw a steep 22 per cent fall to 63,637 units. With price realisation in Sri Lanka,average sales has recovered to 7,500 CVs per month. The loss on sales in Sri Lanka is being partially off-set with gains in Egypt, the company said.

The company said that its performance during the quarter has been more than satisfied amid the general decline in the motorcycle industry,rise in input cost and fuel price increase.

Its share of the domestic motorcycle market increased from 23 per cent in April this year,to 27 per cent in September.