TVS Motor Company , a leading two-wheeler and three-wheeler manufacturer, has reported a significant increase in sales for July, surpassing market expectations and showcasing strong growth across various segments.

Sales Performance

The company announced total sales of 456,350 units in July, marking a substantial 29% increase from 354,140 units sold in the same month last year. This impressive performance exceeded analyst estimates, which had projected sales of 410,010 units for the month.

Segment-wise Breakdown

TVS Motor's sales growth was broad-based, with notable increases across different vehicle categories:

Two-Wheelers

• Total two-wheeler sales registered a 29% growth, rising from 339,676 units to 438,790 units.
• Domestic two-wheeler sales increased by 21%, reaching 308,720 units compared to 254,250 units in the previous year.
• Motorcycle sales grew by 25%, with 201,494 units sold against 161,074 units.
• The scooter segment experienced a remarkable 42% growth, with sales increasing from 139,995 units to 198,265 units.
• EV sales showed a 10% growth, rising from 21,442 units to 23,605 units, despite ongoing challenges in magnet availability.

Three-Wheelers

• Three-wheeler sales grew by 21%, reaching 17,560 units compared to 14,464 units in the previous year.

Export Performance

TVS Motor's international business demonstrated robust growth:

• Total exports registered a 46% growth, increasing from 97,589 units to 142,629 units.
• Two-wheeler exports saw a significant 52% growth, rising from 85,426 units to 130,070 units.

Market Commentary

Prof. Sir Ralf Dieter Speth, Chairman of TVS Motor Company, commented on the results: "Our July sales figures reflect the strong demand for our products across all segments. The substantial growth in both domestic and international markets underscores the appeal of our diverse product range and the strength of our brand."

Challenges and Outlook

While the overall performance was strong, TVS Motor noted that challenges in magnet availability continue to pose issues for the EV segment in the short to medium term. The company is working on addressing these supply chain constraints to support the growing demand for its electric vehicles.

Conclusion

TVS Motor Company's July sales results demonstrate the company's ability to capitalize on market opportunities and meet consumer demand effectively. With strong growth across its product portfolio and in both domestic and international markets, TVS Motor appears well-positioned to maintain its growth trajectory in the coming months.

TVS Motor Company , a leading two and three-wheeler manufacturer, has reported stellar financial results for the first quarter, coupled with strategic plans to address rising commodity costs.

Record-Breaking Financial Performance

The company achieved its highest-ever quarterly revenue, crossing the Rs. 10,000 crore mark. TVS Motor posted a revenue of Rs. 10,081.00 crores for Q1, marking a significant 20% growth compared to Rs. 8,376.00 crores in the same quarter of the previous year.

Profitability Surge

TVS Motor's profitability saw substantial improvements:

• Operating EBITDA reached a record Rs. 1,263.00 crores, up 32% year-on-year
• EBITDA margin improved by 100 basis points to 12.5%
• Profit Before Tax (PBT) grew by 35% to Rs. 1,053.00 crores
• Profit After Tax (PAT) increased by 35% to Rs. 779.00 crores

Sales Performance

The company registered its highest-ever quarterly sales volume:

Strategies to Address Commodity Pressures

In response to the 0.5% commodity cost pressures expected in Q2, TVS Motor Co has outlined several strategies:

1. Price Increases: The company plans to implement price hikes to offset rising input costs.
2. Improved Product Mix: TVS aims to optimize its product portfolio to enhance overall profitability.
3. Cost-Cutting Measures: The company will focus on operational efficiency and cost reduction initiatives.

Electric Vehicle Segment

TVS Motor Co expressed optimism about the gross margins for electric two-wheelers and three-wheelers. The company expects to enhance EBITDA in this segment through:

• Scale advantages
• Improved product range
• Ongoing cost reduction efforts

Future Outlook

Looking ahead, TVS Motor Co has projected:

• An investment of Rs. 2,000.00 crore for the fiscal year
• Moderate growth expectations for Q2
• Strong performance anticipated during the festive season

Key Brand Initiatives

The company highlighted several brand milestones and initiatives:

• TVS Jupiter 110 became India's most awarded scooter
• TVS Apache celebrated 20 years of performance with 6 million Apache riders worldwide
• Launch of TVS iQube in Indonesia
• Showcasing of new Norton Motorcycles to the Prime Ministers of India and the UK during India-UK FTA discussions

Sustainability and Manufacturing Excellence

TVS Motor Company continues to focus on sustainability and manufacturing excellence:

• Won the CII National Award for Future Ready Manufacturing 2025
• All three manufacturing units in India achieved Water Positive certification from CII

As TVS Motor Company navigates through rising commodity pressures and evolving market dynamics, its strong Q1 performance and strategic initiatives position it well for sustained growth in the coming quarters.