Bajaj Auto Limited is a well-known Indian global two-wheeler and three-wheeler manufacturing company. It is also a part of the Bajaj Group. They manufacturer motorcycles, scooters, and auto rickshaws. They are the world’s third-largest manufacturer of motorcycles and the second-largest in India.
On Monday, Bajaj Auto has reported that due to the impact of the coronavirus pandemic, their total sales drop 33 percent to 2,55,832 units in July 2020. As per the records the company had sold 3,81,530 units in the same month a year ago. The company mentioned in their regulatory filing that in the month of July the domestic sales were at 1,58,976 units as against 2,05,470 units, down 23 percent.
The Total sales of motorcycle stood at 2,38,556 units, a decline of 26 percent when compared to 3,22,210 sold in the month of July last year. They point out that the total motorcycle sales stood at 2,38,556 units, which indicates a decline of 26 percent, as compared to 3,22,210 sold in July last year. While considering the area of exports, in the month of July it has declined 45 percent to 96,856 units as against 1,76,060 units in the corresponding month last year.
Due to the coronavirus pandemic, both exports and domestic sales were impacted due to restrictions on production from the beginning of the pandemic. The exports and domestic sales were also affected by the pandemic due to restrictions on production. The Bajaj Auto company states that “things are far from normal as this is an unstable recovery due to sporadic local shutdowns in various parts of the country impacting both, demand as well as supply chain.”
They also added on the Covid-19‘s future impact on business that for accurately estimating the future impact of this pandemic on the performance of automakers is difficult to assess, given the volatile and still evolving environment with fresh outlooks being imposed.
When the Quarter one results of Bajaj Auto were announced the Profit falls 53% Year-on-Year to Rs 528 crores, and they remarked that Q1FY21 has been an extremely challenging quarter due to the unprecedented Covid-19 pandemic.