Royal Enfield total (domestic and exports) sales fell by over a third in October 2021
Royal Enfield reported a decline in total sales in October 2021. This was true for domestic sales, and exports. 350cc sales fell to 37,409 units, down from 60,467 units. Volume loss stood at 23,058 units at 38.13 percent decline. In this segment, RE offers Classic, Bullet, Electra and Meteor. Soon there will be the addition of Hunter 350 in this list.
The broader segment above 350cc saw marginal improvement at 4.67 percent. Sales were up at 6,724 units, up from 6,424 units. This segment is also the one that brings in the lion’s share of exports. In this segment, RE offers 650 Twins and Himalayan. This range will soon see the addition of Super Meteor 650.
Exports last month fell to about 3.5k units, down from 4k units. Volume loss stood at 511units at 12.67 percent decline. Domestic sales fell to 40,611 units, down from 62,858 units. Volume loss stood at 22,247 units at 35.39 percent decline. Total sales fell below 45k units, down from 66,891 units. Volume loss is reported at 22,758 units at 34.02 percent decline.
Royal Enfield Sales Oct 2021 – MoM growth
MoM sales improved. 350cc segment grew from 25,520 units up at 46.59 percent. Volume gain stood at 11,889 units. The bigger segment compromising all of Royal Enfield’s above 350cc two-wheelers were in the red. Sales fell from juts over 8k units. Volume loss stood at 1,285 units down 16.04 units.
MoM domestic sales grew by almost 50 percent, up from 27,233 units. Volume gain stood at 13,378 units. Exports fell by 44.06 percent MoM.Exports fell from 6.3k units at volume loss of over 2.7k units. MoM sales growth is reported at 31.63 percent, up from 33,529 units. Volume gain stood at 10,604 units.
YTD FY21 total sales stands improved. This is largely on the back of exports reported at 161 percent growth. Exports for the last 7 months are totalled at just over 40k units, up from just over 15k units.
Total sales in the last 7 months is up at 2,91,200 units, up from 2,74,679 units. The above 350cc segment saw sales grow to 45,590 units, up from 24,894 units at 83 percent growth. The 350cc segment saw sales fall marginally at 2 percent. Sales is down to 2,45,610 units, down from 2,49,785 units.
Auto industry limitations
Limitations in production owing to Covid-19 pandemic now appear to be a smidgen in the larger scheme of issues the auto industry has been facing. The consequences of Covid-19 have been devastating, causing widespread delays to production and distribution, and sales. However at the time of limited or no sales, no attempt was made to mitigate the losses the auto industry has been facing due to this pandemic.
The government didn’t step up and offer incentives for auto manufacturers to produce more vehicles while delays and losses endured were worked through. This came at a time when the Indian auto industry was already dealing with plagued sales. And now the industry is in the throes of non-availability of chips. In short, the industry continues to be plagued by matters that makes the current situation unpredictable.
Source: Bike - rushlane.com
