Mumbai: TVS Motor Co Ltd on Monday reported a 5% rise in two wheeler May sales and forecast a double digit growth in sales for FY10.
India’s third largest two wheeler maker said on Monday total vehicle sales for the month stood at 118,574 units compared with 112,770 units last year, helped by higher domestic motorcycle and moped sales.
The company saw growth in mopeds and motorcycles sales in the domestic market, though exports have been low, senior vice president HS Goindi told Reuters.
Domestic motorcycle sales rose to 43,165 units in May versus 41,901 units the year ago, but exports slumped nearly 21% to 11,135 units from 14,071 units a year ago.
But Goindi forecast a double-digit growth for the full year as he expects the firm’s domestic motorcycle, moped and scooter sales to rise during the year driven by new launches.
“Hopefully we should do a double digit growth for the year,” he said.
The company has three product launches planned over the year including new versions of its ‘Apache’ and ‘Flame’ motorcycles.
Consequently, the Chennai-based firm expects its domestic market share to grow about 2% this year, Goindi added.
TVS Motor, which lags Hero Honda Motors and Bajaj Auto in sales, does not expect a rise in exports.
“But exports will be a bit flattish this year, it may be a bit lower in the first few months...and then pick up in the second half.”
TVS Motor exports mainly to Asian, African and Latin American countries.
At 11:50 am, TVS Motor shares were up 4.03% at Rs46.50 in the Mumbai market.