The Hindu Business Line : Kinetic bets on Blaze to return to black

The company is scouting for new export markets and has targeted exports of 40,000 units in 2007. Currently, Kinetic sells 15,000 units a year in the overseas market.

New Delhi , Dec 18

Kinetic Motor Company today said that it hopes to return to black by the April-June quarter of 2007, riding pillion on its newly launched four-stroke scooter Blaze and higher exports.

"We hope to break even in the first quarter of 2007 itself and would be in a position to register a net profit in the second quarter of next year," Mr Ajinkya Firodia, Vice-President (Marketing and Sales), told newspersons.

He said that the company anticipates its two-wheeler sales in the domestic market to cross the one-lakh mark in the next fiscal, of which around 36,000 units would be that of Blaze.

Mr Firodia added that the company would close the current fiscal at Rs 800 crore and has targeted topline of Rs 1,300 crore in 2007.

According to him, the company is exploring new export markets, including Sudan and Egypt, and has targeted exports of 40,000 units in 2007. Currently, Kinetic sells 15,000 units a year in the overseas market. "We expect to sell 10,000 units of Blaze in the overseas market in 2007."

Blaze is one of the seven models Kinetic acquired from Italian two-wheeler maker Italjet; the company will launch two new scooter models, 135 cc and 250 cc respectively, from the Italjet range next year.

Taiwanese two-wheeler manufacturer Sanyang Industry Co Ltd (SYM) had picked up 11 per cent stake in Kinetic Motor in February this year. Kinetic is also looking at the possibility of launching SYM's scooter models in the country.

The company today launched a new disc-brake variant of Blaze. The new variant would cost nearly Rs 2,000 more.

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