Eicher Motors Shares Zoom Record High Royal Enfield Sales December

Eicher Motors Shares Surge 8% to Record Levels After Strong December Sales for Royal Enfield

Eicher Motors Ltd. is riding high on the success of its flagship brand, Royal Enfield, following impressive sales numbers in December 2024. The company’s shares saw a remarkable jump of 8%, reaching record levels, after reporting a significant rise in Royal Enfield sales for the month. This surge is a reflection of the strong demand for the brand’s iconic motorcycles, which continue to capture the hearts of riding enthusiasts around the world.

Strong Royal Enfield Sales Boost Eicher Motors

According to a recent exchange filing, Royal Enfield achieved a 25% year-on-year growth in December 2024, selling a total of 79,466 units compared to 63,887 units during the same month in 2023. The growth was particularly evident across its entire range of motorcycles. Models with engine capacities up to 350 cc saw sales increase by 25%, reaching 69,476 units, while the more powerful models above 350 cc also experienced a strong growth of around 25%, reaching 9,990 units.

These figures were well above expectations, surpassing the CNBC-TV18 poll forecast of 73,333 units, which had predicted a growth of 16% year-on-year. The growth is also an indicator of how Royal Enfield continues to dominate the premium motorcycle segment, meeting the demands of both domestic and international riders.

Exports Rise, Reflecting Global Appeal

A particularly notable achievement in December was the significant rise in exports of Royal Enfield motorcycles. Exports nearly doubled compared to last year, reaching 11,575 units. This surge is a testament to the brand’s growing global appeal, especially as it continues to expand into new international markets and strengthen its presence in existing ones.

For the first nine months of the current financial year, Royal Enfield’s total sales reached 7.27 lakh units, marking a 6% increase compared to the 6.85 lakh units sold during the same period last year. This growth reinforces the brand’s consistent performance and positions it as one of the leading players in the premium motorcycle segment.

Eicher Motors Continues to Perform Strongly in Share Markets

Eicher Motors’ strong sales figures are having a positive impact on the company’s stock. As of January 2, 2025, Eicher Motors shares saw a jump of 8.64%, trading at ₹5,307.15. The stock had already gained 16% in 2024, and its continued upward trajectory has caught the attention of investors. The Eicher Motors share price is now at an all-time high, reflecting the strong market confidence in its future prospects.

Currently, 21 out of the 42 analysts covering Eicher Motors have a “buy” rating on the stock, signaling a positive outlook for the company. Despite some analysts maintaining a “hold” or “sell” rating, the general sentiment surrounding Eicher Motors remains positive, driven by the strong performance of its Royal Enfield division.

Expansion Plans and New Developments

Looking ahead, Royal Enfield has exciting plans to continue its growth. One of the key developments is the commencement of operations at the company’s first fully-owned and operated CKD (Completely Knocked Down) assembly facility outside of India, located in Bangkok, Thailand. This facility marks the sixth global unit for Royal Enfield, following similar establishments in Argentina, Colombia, Brazil, Bangladesh, and Nepal. It represents a significant step in the brand’s strategy to strengthen its international footprint.

Additionally, Royal Enfield has expanded its pre-owned motorcycle business, REOWN, which is now available in 236 cities across India. This expansion provides a new avenue for growth and enhances Royal Enfield’s accessibility to customers across the country.

Eicher Motors Looks to the Future

As Royal Enfield continues to innovate and expand, Eicher Motors remains committed to sustaining its growth momentum. B Govindarajan, the CEO of Royal Enfield, expressed optimism for the future, saying, “As we gear up for 2025, we are looking forward to sustaining our growth momentum and continue inspiring our riding community across the globe with pure motorcycling initiatives across the board.”

With its robust growth in both domestic and international markets, Eicher Motors seems poised for continued success in the coming years. Investors and analysts alike are closely watching the company’s next moves, especially as it capitalizes on the strong demand for its motorcycles and looks to expand its global presence even further.

Conclusion

Eicher Motors’ strong December sales numbers for Royal Enfield have resulted in an 8% surge in its share price, marking an all-time high. The company’s success in both domestic and international markets reflects the growing demand for its motorcycles, particularly in the premium segment. With continued innovation, expansion into new markets, and strong investor confidence, Eicher Motors is well-positioned to maintain its growth trajectory in 2025 and beyond.

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