Full Name

Hero MotoCorp Limited

Industry

Automotive

Founded

19 January 1984

Headquarters

New Delhi, India

Key People

Dr. Pawan Munjal (Executive Chairman), Niranjan Gupta (CEO)

Market Share

46% in Indian two-wheeler industry

Revenue (2023)

Rs. 34,727 crore (US$4.3 billion)

Production Capacity

Over 9.5 million units annually

Global Presence

47 countries

Employees

Approximately 9,215

Subsidiaries

Vida Electric Scooter, Hero FinCorp, Hero Future Energies

Manufacturing

Motorcycles and scooters

Key Products

Hero Splendor, Hero Passion, Hero Karizma, Vida Electric Scooters

R&D Facilities

Jaipur, India and near Munich, Germany

Manufacturing Facilities

8 facilities in India, Colombia, and Bangladesh

Market Strategy

Focus on fuel-efficient, affordable two-wheelers; expansion into electric vehicles

Distribution

Extensive dealership network with over 10,000 touchpoints worldwide

Collaborations

Partnerships with Harley-Davidson, Ather Energy, Zero Motorcycles

2024-06-08

Press Release, News and Media

Hero MotoCorp

2025-01-30

Calendar Hero Motocorp Ltd

MarketScreener

Pawan Munjal

Executive Chairman

38.8 yrs

₹1.09b

0.15%

Niranjan Gupta

Chief Executive Officer

1.7 yrs

₹108.40m

No data

Vivek Anand

Chief Financial Officer

<1 yr

₹28.40m

No data

Dhiraj Kapoor

Company Secretary & Compliance Officer

2.9 yrs

₹12.40m

No data

Vikram Kasbekar

Executive Director

8.4 yrs

₹121.10m

0.015%

Surender Chhabra

Vice President of Corporate Finance

No data

No data

No data

Reema Jain

Chief Information & Digital Officer

2.8 yrs

No data

No data

Umang Deep Khurana

Head of Investor Relations

No data

No data

No data

Pooja Yadava

General Counsel

<1 yr

No data

No data

Bharatendu Kabi

Head of Corporate Communications & CSR

No data

No data

No data

Rachna Kumar

Chief Human Resources Officer

1 yr

No data

No data

Sanjay Bhan

Executive Vice President

<1 yr

No data

No data

Pawan Munjal

Executive Chairman

38.8 yrs

₹1.09b

0.15%

Vikram Kasbekar

Executive Director

8.4 yrs

₹121.10m

0.015%

Pradeep Dinodia

Non-Executive Director

23.8 yrs

₹18.70m

0.000080%

Suman Munjal

Non-Executive Director

14.5 yrs

₹2.40m

0.052%

Tina Trikha

Independent Non-Executive Director

5.3 yrs

₹13.30m

No data

Camille Tang

Non-Executive Independent Director

3.2 yrs

₹4.80m

No data

Rajnish Kumar

Non-Executive Independent Director

3.2 yrs

₹4.80m

No data

Jagmohan Raju

Non-Executive & Independent Director

6.2 yrs

₹11.30m

No data

Birender Dhanoa

Non-Executive Independent Director

4.3 yrs

₹15.50m

No data

Vasudha Dinodia

Non-Independent Non-Executive Director

3.2 yrs

₹3.60m

No data

Revenue (₹ Cr)

10,210.79

9,616.68

10,721.00

9,519.00

Net Income (₹ Cr)

1,045.89

1,016.00

1,073.40

737.40

Earnings Per Share (EPS)

52.21

46.69

54.71

35.70

Gross Margin (%)

31.57

-

-

-

Operating Margin (%)

12.63

-

-

-

EBITDA (₹ Cr)

1,688

1,630

1,363

1,516

EBITDA Margin (%)

14.5

-

14.3

14.5

Cash Reserves (₹ Cr)

608.93

-

-

-

Revenue (₹ Cr)

9,616.68

10,210.79

-5.55

Net Income (₹ Cr)

1,016.00

1,045.89

-2.82

EPS

46.69

52.21

-10.2

EBITDA Margin (%)

-

14.5

-

Revenue (₹ Cr)

10,210.79

9,519.00

+7.5

Net Income (₹ Cr)

1,045.89

737.40

+42.3

EPS

52.21

35.70

+46.4

EBITDA (₹ Cr)

1,688

1,516

+11.1

EBITDA Margin (%)

14.5

14.5

±0

Revenue

INR 4,045.48 billion

INR 4,454.80 billion

EBITDA

INR 57.2 billion

INR 65.0 billion

Adjusted PAT

INR 42.7 billion

INR 50.0 billion

EPS

INR 208.5

INR 220.0

P/E Ratio

14.7

15.0

RoCE (%)

27.2

28.0

India

3,596.66

+6.18

+15.36

Parts & Accessories

1,456.00

-

+7.5

International

2,660.73

-

+40.00

Motorcycles (ICE)

Xtreme 250R, Xpulse 210, Karizma XMR 250

Enhanced market share in the premium segment, contributing to a 16% rise in mid-range motorcycle sales

Scooters (ICE & EV)

Xoom 160, Xoom 125, VIDA V2

Expanded product portfolio, particularly in the affordable and electric segments, driving overall sales growth

Electric Vehicles (EV)

VIDA Z, VIDA V2 e-scooter

Positioned the company in the growing EV market, capturing significant market share in new geographic regions

Gross Profit Margin (%)

31.57

30.34

+12.1

Operating Profit Margin (%)

12.63

14.3

+23.3

Net Profit Margin (%)

10.01

9.92

+9.9

Selling/General/Admin Expenses

627.92

663.43

-5.35

+5.32

Depreciation/Amortization Expenses

205.44

196.61

+4.49

+14.30

Other Operating Expenses

1,251.65

1,231.01

+1.68

+36.77

Total Operating Expense

8,954.95

8,419.72

+6.36

+12.23

Supply Chain Changes

Supply chain constraints and logistics disruptions led to rationalized domestic dispatches in July 2024.

Inventory Management

Inventory levels remained stable with a slight increase of 0.7% YoY, indicating effective management.

Sustainability Initiatives

Achieved 100% zero-waste-to-landfill status across manufacturing facilities; implemented water conservation and waste reduction measures.

Sales Growth

Achieved a 7% increase in volume sales in FY24, with significant contributions from rural markets.

Market Strategy

Launched premium and electric motorcycle models to capture higher margin segments.

Marketing Campaigns

Engaged in strategic marketing initiatives, including brand ambassador partnerships and digital campaigns, resulting in enhanced brand visibility and customer engagement.

Operating Cash Flow

49,231

26,138

+88.3

Investing Cash Flow

-18,279

-4,213

-

Financing Cash Flow

-27,166

-21,472

-

Net Cash Flow

3,786

453

+736.2

Total Assets

25,571.55

23,263.14

+10.2

Total Liabilities

7,585.37

6,558.05

+15.6

Shareholders' Equity

17,986.18

16,705.09

+7.7

Cash Reserves

608.93

345.50

+76.2

Inventory (₹ Cr)

1,443.76

1,434.09

+0.7

Receivables (₹ Cr)

2,703.44

2,798.21

-3.4

2025-01-30

4094.15

4162

4060.70

4146.05

401,700

2025-01-29

4041.75

4114.80

4033.20

4077.90

476,070

2025-01-28

4020.00

4062.30

4000.00

4026.35

444,089

2025-01-27

4045.00

4074.80

4000.00

4015.95

328,160

2025-01-24

4105.05

4125.00

4041.10

4051.90

216,273

Emkay

Buy

6,200

4,072.45

28.25

Motilal Oswal

Buy

5,420

4,072.45

28.25

Jefferies

Buy

5,500

4,072.45

28.25

Nomura

Buy

5,805

4,072.45

28.25

Average

Buy

5,163.92

4,072.45

28.25

CEO (Niranjan Gupta)

Highlighted the company's robust financial performance, with record revenue and net income. Emphasized the strategic focus on premium and electric vehicle segments to drive future growth. Discussed the successful expansion into new markets and the positive impact of recent product launches.

CFO (Vivek Anand)

Addressed the financial health of the company, noting significant improvements in cash flow and profitability. Discussed cost management initiatives and investments in R&D for new product development. Provided insights into the company's financial projections and capital allocation strategies.

Impact of Raw Material Costs

Acknowledged the challenges posed by rising raw material costs and detailed the company’s strategies to mitigate these impacts through cost-saving initiatives and strategic supplier partnerships.

EV Market Strategy

Elaborated on the company's commitment to the electric vehicle segment, including upcoming product launches and partnerships to enhance EV infrastructure and market penetration.

International Expansion Risks

Discussed the strategic approach to entering new markets, highlighting thorough market research and phased rollout plans to minimize risks and ensure successful market entry.

Supply Chain Improvements

Provided updates on ongoing supply chain optimization efforts, including the adoption of advanced technologies and diversification of the supplier base to enhance resilience.

Future Product Pipeline

Shared insights into the upcoming product pipeline, emphasizing innovation and alignment with market trends to meet diverse consumer needs.

Hero MotoCorp

8,103.80

3,745.57

374.22

31.57

14.5

52.21

Bajaj Auto

43,782.08

4,378.20

770.82

29.75

17.0

272.7

TVS Motor Company

39,321.10

330.34

17.79

51.41

14.61

35.5

Honda M&S India

N/A

319.45

27.05

N/A

N/A

N/A

2020-21

2,88,361

36,333

13.73

12.6

2021-22

3,08,006

29,642

11.05

9.62

2022-23

2,92,455

24,730

11.52

8.46

2023-24

3,38,057

27,999

11.6

8.2

2024-25

3,63,731

37,422

13.0

9.9

European Market Entry

Launch of VIDA Z electric scooter and premium motorcycles in Europe and the UK.

Mid-2025

Increased revenue through new market penetration; upfront investment in marketing and distribution infrastructure.

Brazil Expansion

Commencement of operations in Brazil with a new manufacturing unit.

Q4 FY2025

Potential for higher sales in Latin America; need for supply chain setup and local partnerships.

Philippines and Nepal

Strengthening presence in these markets with localized product offerings.

Ongoing

Revenue diversification; reduced dependency on the Indian market.

Global Tech Centres

Establishment of additional R&D centers to support international market needs.

2025-2026

Enhanced innovation and product development; increased R&D expenditure.

Electric Vehicle Production

Increase EV production capacity to 15,000 units per month by FY25.

Facilitates meeting growing EV demand; enhances market share in the EV segment.

Premia Dealerships

Establish over 60 Premia exclusive dealerships across India.

Improves customer experience and service quality in premium segments.

R&D Investment

Significant investments in R&D to support new product development and technological advancements.

Drives innovation and supports the launch of competitive, high-margin products.

Manufacturing Facilities

Expansion of manufacturing facilities to support higher production volumes and diversify locations.

Increases production capacity; enhances supply chain resilience and flexibility.

Market Competition

Intense competition from domestic and international two-wheeler manufacturers like Bajaj Auto and TVS Motor.

Focus on innovation and premium product launches; strategic pricing and marketing efforts.

Regulatory Changes

Increasing environmental regulations impacting vehicle emissions and production standards.

Invest in R&D for compliant technologies; proactive engagement with regulators.

Raw Material Cost Inflation

Rising costs of raw materials such as steel and aluminum affecting production costs and profitability.

Implement cost-saving initiatives; diversify supplier base; negotiate long-term contracts.

Supply Chain Disruptions

Geopolitical tensions and global supply chain issues causing delays and increased costs.

Strengthen supply chain resilience through diversification and technology integration.

Economic Fluctuations

Dependence on the Indian economy makes Hero MotoCorp vulnerable to economic downturns and changing consumer spending.

Diversify markets; focus on affordable and premium segments to cater to varied consumer bases.

Technological Disruption

Rapid advancements in two-wheeler technology, including smart features and autonomous systems.

Continuous investment in R&D; collaboration with tech partners to stay ahead.

Electric Vehicle Market Saturation

Potential saturation in the EV market could limit growth opportunities.

Expand product offerings; enter emerging EV markets; enhance value propositions.

Global Expansion Risks

Entering new international markets carries risks related to cultural differences, regulatory compliance, and brand acceptance.

Conduct thorough market research; establish strong local partnerships; phased rollout strategies.

Exchange Rate Volatility

Fluctuations in currency exchange rates affecting international revenue and costs.

Utilize financial hedging strategies; diversify currency exposure.

Sustainability Pressures

Increasing pressure to adopt sustainable practices and reduce environmental impact.

Accelerate sustainability initiatives; achieve milestones like zero waste to landfill and carbon neutrality.

Electric Vehicle (EV) R&D

Focused on developing efficient and high-performance electric motorcycles and scooters.

Successful introduction of VIDA V2 e-scooter; collaboration with Zero Motorcycles for mid-sized EV development.

Sustainable Manufacturing Practices

Implemented water conservation and waste reduction measures across all manufacturing facilities.

Achieved 100% zero-waste-to-landfill status; ongoing projects for water positivity by 2025.

Advanced Safety Features

Integration of advanced safety technologies like dual-channel switchable ABS in new motorcycle models.

New models launched with enhanced safety features, promoting rider safety and product differentiation.

Connected Mobility Solutions

Development of Hero Connect, a cloud-based platform offering connected services and smart riding experiences.

Live rollout of Hero Connect with features like real-time diagnostics and remote updates.

Flexible Fuel Technologies

Research on ethanol-based fuels and hybrid technologies to reduce emissions and enhance fuel efficiency.

Prototype development of HF Deluxe Flex-Fuel motorcycle; ongoing studies on hybrid powertrains.

Intense Market Competition

Hero MotoCorp faces strong competition from major players like Bajaj Auto and TVS Motor, which could impact market share and profitability.

Focus on premium product launches, enhance brand value, and improve customer service.

Rising Raw Material Costs

Increases in the costs of raw materials such as steel and aluminum can affect production costs and margins.

Implement cost-saving measures, negotiate long-term supply contracts, and diversify supplier base.

Supply Chain Disruptions

Geopolitical tensions and global supply chain issues may disrupt production schedules and increase costs.

Strengthen supply chain resilience through diversification, strategic partnerships, and technology integration.

Technological Advancements

Rapid technological changes require continuous innovation and adaptation to stay competitive.

Invest heavily in R&D, collaborate with technological partners, and adopt agile development processes.

Regulatory Compliance

Stricter environmental regulations necessitate compliance, potentially leading to increased costs and operational changes.

Proactively engage in regulatory discussions, invest in green technologies, and ensure timely compliance across all operations.

Economic Fluctuations

Dependence on the domestic economy makes Hero MotoCorp vulnerable to economic downturns, which can reduce consumer spending on two-wheelers.

Diversify into international markets to reduce dependency on any single economy; focus on affordable product segments.

Brand Perception and Loyalty

Any negative publicity or decline in product quality can affect brand loyalty and consumer trust.

Maintain high product quality standards, engage in effective brand management, and address consumer feedback promptly.

Sustained EV Growth

Maintaining the growth trajectory in the electric vehicle market amidst rising competition and evolving technology.

Continue investing in R&D for advanced EV technologies; expand EV product lineup; enhance EV infrastructure partnerships.

Global Market Penetration

Effectively penetrating new international markets while managing local regulations and consumer preferences.

Conduct thorough market research; establish strong local partnerships; adapt products to meet local needs and standards.

Operational Efficiency

Enhancing production and operational efficiencies to manage costs and sustain profitability.

Implement lean manufacturing techniques; invest in automation and smart manufacturing technologies; optimize supply chain logistics.

Talent Acquisition and Retention

Attracting and retaining skilled talent to drive innovation and maintain competitive advantage.

Develop robust talent acquisition programs; invest in employee development and engagement initiatives; foster a positive and inclusive workplace culture.

Sustainability Goals

Achieving ambitious sustainability targets such as zero waste and carbon neutrality.

Accelerate sustainability initiatives; invest in renewable energy and waste management technologies; engage stakeholders in sustainability efforts.

VELOX 200

A new-generation electric motorcycle with enhanced battery life and smart connectivity features.

Q3 FY25

Xtreme 250R Pro

An upgraded version of the Xtreme 250R with advanced suspension and aerodynamic design.

Q4 FY25

Karizma XMR 250

Introduction of the Karizma XMR 250 with a more powerful engine and premium features.

Q1 FY26

VIDA V2 e-scooter

Launch of VIDA V2 with removable battery technology and extended range capabilities.

December 2024

Hero Connect

Enhanced digital platform for connected mobility solutions, offering real-time vehicle diagnostics and updates.

Q2 FY25

Mavrick 440 Pro

A high-performance electric dirt bike designed for off-road enthusiasts.

Q2 FY26

HF Deluxe Flex-Fuel Prototype

Prototype for a multi-fuel motorcycle aiming for versatile fuel usage and reduced emissions.

Early 2025

Electric Vehicle (EV) R&D

Focused on developing efficient and high-performance electric motorcycles and scooters.

Successful introduction of VIDA V2 e-scooter; collaboration with Zero Motorcycles for mid-sized EV development.

Sustainable Manufacturing Practices

Implemented water conservation and waste reduction measures across all manufacturing facilities.

Achieved 100% zero-waste-to-landfill status; ongoing projects for water positivity by 2025.

Advanced Safety Features

Integration of advanced safety technologies like dual-channel switchable ABS in new motorcycle models.

New models launched with enhanced safety features, promoting rider safety and product differentiation.

Connected Mobility Solutions

Development of Hero Connect, a cloud-based platform offering connected services and smart riding experiences.

Live rollout of Hero Connect with features like real-time diagnostics and remote updates.

Flexible Fuel Technologies

Research on ethanol-based fuels and hybrid technologies to reduce emissions and enhance fuel efficiency.

Prototype development of HF Deluxe Flex-Fuel motorcycle; ongoing studies on hybrid powertrains.