Hero MotoCorp on Monday announced a 33.33 per cent rise in net profit at Rs750.34 crore for the first quarter ended June 30, riding on new product launches and strategic marketing initiatives.The company had posted a net profit of Rs562.76 crore in the same period of the previous fiscal.
Net sales of the company, however, declined by 2.04 per cent for the first quarter at Rs6,855.98 crore as against Rs6,999.40 crore in the year-ago period, Hero MotoCorp said in a statement.“During the first quarter of FY16 we continued to strengthen our market leadership through a combination of new product launches and strategic marketing initiatives,” Hero MotoCorp ltd Chairman, CEO and MD Pawan Munjal said.
The company expanded its product range with two new offerings –- the Xtreme Sports and Passion Pro -- during the quarter, he added.“These products have witnessed a very positive response, enabling us to fortify our leadership position. Strong demand for our products in the 125cc category has also been instrumental in driving volumes,” Munjal said.
He added that the company has further lined up a slew of new launches including scooters and motorcycles.Commenting on the market, Munjal said: “We expect the industry to move in an upward trend in the coming quarters although a lot will depend on multiple factors, including good monsoon, rural income and overall market sentiments.”