Companies

Royal Enfield sales drop 13 per cent in January

Prashasti Awasthi Mumbai | Updated on February 03, 2020

File photo   -  Bijoy Ghosh

India’s homegrown bike manufacturer Royal Enfield has witnessed a 13 per cent dip in sales in January, reported Gaadiwaadi.

According to the report, to comply with the stringent BS6 emission norms, Royal Enfield has to upgrade four of its bikes, due to which sales got hampered significantly.

Royal Enfield has upgraded the Himalayan ― the 650 Twins, as well as the Classic 350, to comply with the latest emission norms.

Royal Enfield registered total sales of 63,520 units in the month of January 2020, which is 13 per cent lower than the 72,701 units the brand was able to sell in the same month in 2019. The majority of sales of Royal Enfield comes from motorcycles with engine capacity under 350 cc, which includes the Bullet 350, Classic 350, Thunderbird 350 and Thunderbird 350 X.

Royal Enfield sold 59,200 units of these bikes last month, which resulted in a 12.83 per cent decline in year-on-year sales, as the manufacturer sold 67,915 units in January 2019, as per the Gaadiwaadi report.

The decline in domestic sales comes at a time when in September 2019, Royal Enfield had witnessed a 22 per cent fall in monthly domestic sales to 54,858 units, according to an India Today report.

The domestic sales of Royal Enfield had plunged 28 per cent to 48,752 units in August 2019, 27 per cent to 49,182 units in July 2019 and 24 per cent to 55,082 units in June 2019.

The India Today report states that the overall sales of Royal Enfield (domestic + international) had plunged 17 per cent to 59,500 units in September 2019.

Not everything bad for Royal Enfield as it sees a rise in export

However, there is still some hope left for Royal Enfield to spring back to good business as exports from the Indian motorcycle company have risen over the years even though domestic sales have fallen.

Royal Enfield exported 1,829 motorcycles in January 2019, which increased by 21.82 per cent to 2,228 units in the same month in 2020.

FY20 YTD exports have almost doubled at 33,776 units, against 15,864 units sold during the period April 2018 to January 2019.

Export sales of Royal Enfield grew by a staggering 191 per cent to 4,642 units in September 2019. The bike-maker had exported 1,597 units in the year-ago month.

Published on February 03, 2020

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