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WardWizard Innovations & Mobility Ltd, the first BSE-listed electric two-wheeler manufacturer, plans a multi-pronged strategy for growth in domestic and export markets as electric vehicle adoption is shifting into overdrive in India and other markets.
The company now offers about a dozen electric two-wheelers (including low-speed electric scooters and high-speed motorcycles) under the brand Joy e-bike. It sold 2,125 units of low and high-speed electric two-wheelers in June 2022 (938 units in June 2021). In Q1 of this fiscal, it sold 8,267 units, clocking more than a three-fold increase as compared to Q1 of FY22.
As the company is gearing up to launch four high-speed electric bikes and foray into the electric three-wheeler segment, it has chalked out a two-pronged plan for growing its presence in the domestic market.
More dealerships
It seeks to ramp up the number of dealerships to 1,500 in the next two years, up from 550 plus now across 18 States. The company aims at having a pan-India presence by 2023, according to a copy of its investor document.
It will further aim at strengthening its position in its key markets like Gujarat, Maharashtra, Kerala, Karnataka, Madhya Pradesh and Rajasthan. As these States make up about two-thirds of its volumes, it eyes to deepen its footprints in most parts of the region.
The proposed four new high-speed electric bikes, which will come at various price points, will target a different set of customers and the price range of these bikes will be 75-100 per cent higher than the current offerings.
Yatin Gupte, Chairman and Managing Director of the company told BusinessLine that electrification in the two-wheeler segment was one the most important thing for the Indian automobile market. Considering the size of the two-wheeler market in India, it is one of the most important steps to undertake the decarbonisation process across the country.
Increased production capacity
To support the emerging demand and footprint expansion, the company has increased the production capacity from one lakh units a year to two lakh units at its factory in Vadodara, Gujarat. However, the factory has been equipped to produce 4-6 lakh units a year on three shifts.
It will also set up an assembly facility that will cater to markets in the eastern and northern regions, a move that will help cut the logistics costs borne by the company and dealers.
To ensure long-term supply chain resilience, the company is even developing an EV ancillary cluster in Vadodara to enable EV parts makers to put up their production units under one roof to manufacture necessary components by offering cutting-edge facilities, such as land, people resources, and other critical resources.
Also, the company hopes that the EV ancillary cluster will not only provide the products according to its needs but will also increase its manufacturing efficiency.
The growing preference for electric vehicles across the globe is also providing an opportunity for the company. It has identified a few countries for selling its electric two and three-wheelers. The shipments are expected to commence next fiscal.
With a sale of 30,761 electric two-wheelers, it clocked revenue of ₹185 crore in FY22, up from ₹39 crore in FY21. While its EBITDA was at ₹14.5 crore, the zero-debt company recorded a net profit of ₹8.5 crore in FY22.
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