Two Wheelers in India

8/6/2019 Two Wheelers in India

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History of Two Wheelers in India

Motorcycles have made their debut around the 1950s; this section looks at the two wheelers which haveover the years caught the imagination of country. It was in the year 1954 that the Indian government

ordered for total number of 800 motorcycles to man the Pakistani borders. In came the Bullets which

were initially launched in England as a 350cc bike and it was upgraded to 500cc a year or so later. These

bikes have remained unaltered, barring some cosmetic changes which have undergone over the years.

Thus one can say without much of a doubt that the 1955 Bullet was one of the initial hits of the Indian

two-wheeler industry and till today it continues to be a darling of the motorcycle enthusiasts.

Enfield Bullet had a close competition with another sturdy bike named Rajdoot; as the bike was strongenough to handle the rough Indian roads. The company had roped in Indian He-man Dharmendra for the

promotion of the bike. With more than 1.6 million vehicles on the road the Rajdoot motorcycle was one of

the initial hits of the earlier years of two-wheeler history in the country.

When heavy motorcycles were the order of the day, a relatively lighter bike had caught on the

imagination of the Indian two wheeler user. Ind- Suzuki a bike launched by the then TVS Suzuki group

was an instant hit; however the bike could not sustain it's initial success due to the high import content in

the vehicle and less of localization. In scooters Bajaj Chetek has been hugely responsible for adding

momentum to the transport system of the country, till today it remains one of the most successful brands

to have come out of the Bajaj stable.

The feeling of freedom and being one with the Nature comes only from riding a two wheeler. Indians

prefer the two wheelers because of their small manageable size, low maintenance, pricing and easy loan

repayments. Indian streets are full of people of all age groups riding a two wheeler. Motorized two

wheelers are seen as a symbol of status by the populace. Thus, in India, we would see swanky four wheels

jostling with our ever reliable and sturdy steed: the two wheeler

India is the second largest producer and manufacturer of two-wheelers in the world. It stands next only to

Japan and China in terms of the number of two-wheelers produced and domestic sales respectively.

Indian two-wheeler industry has got spectacular growth in the last few years. Indian two-wheeler

industry had a small beginning in the early 50's. The Automobile Products of India (API) started

manufacturing scooters in the country.

Bikes are a major segment of Indian two wheeler industry, the other two being scooters and mopeds.

Indian companies are among the largest two-wheeler manufacturers in the world.

In the initial stages, the scooter segment was dominated by API; it was later overtaken by Bajaj Auto.

Although various government and private enterprises entered the fray for scooters, the only new player

that has lasted till today is LML.

The motorcycle segment was initially dominated by Enfield 350cc bikes and Escorts 175cc bike.

The two-wheeler market was opened to foreign competition in the mid-80s. And the then market leaders

- Escorts and Enfield - were caught unaware by the onslaught of the 100cc bikes of the four Indo-Japanese

joint ventures. With the availability of fuel efficient low power bikes, demand swelled, resulting in Hero

Honda - then the only producer of four stroke bikes (100cc category), gaining a top slot.

The first Japanese motorcycles were introduced in the early eighties. TVS Suzuki and Hero Honda broughtin the first two-stroke and four-stroke engine motorcycles respectively. These two players initially

started with assembly of CKD kits, and later on progressed to indigenous manufacturing. In the 90s the

major growth for motorcycle segment was brought in by Japanese motorcycles, which grew at a rate of

nearly 25% CAGR in the last five years.

The industry had a smooth ride in the 50s, 60s and 70s when the Government prohibited new entries and

strictly controlled capacity expansion. The industry saw a sudden growth in the 80s. The industry

witnessed a steady growth of 14% leading to a peak volume of 1.9mn vehicles in 1990.

In 1990, the entire automobile industry saw a drastic fall in demand. This resulted in a decline of 15% in


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1991 and 8% in 1992, resulting in a production loss of 0.4mn vehicles. Barring Hero Honda, all the major

producers suffered from recession in FY93 and FY94. Hero Honda showed a marginal decline in 1992.

The reasons for recession in the sector were the incessant rise in fuel prices, high input costs and reduced

purchasing power due to significant rise in general price level and credit crunch in consumer financing.

Factors like increased production in 1992, due to new entrants coupled with the recession in the industry

resulted in company either reporting losses or a fall in profits.

Key players in the Two-wheeler Industry:

There are many two-wheeler manufacturers in India. Major players in the 2-wheeler industry are HeroHonda Motors Ltd (HHML), Bajaj Auto Ltd (Bajaj Auto) and TVS Motor Company Ltd (TVS).

The other key players in the two-wheeler industry are Kinetic Motor Company Ltd (KMCL), Kinetic

Engineering Ltd (KEL), LML Ltd (LML), Yamaha Motors India Ltd (Yamaha), Majestic Auto Ltd (Majestic

Auto), Royal Enfield Ltd (REL) and Honda Motorcycle & Scooter India (P) Ltd (HMSI).

Automobile Industry in India Two-wheelers

Two wheelers have a special place on the Indian roads. They are extremely popular and versatile not only

as passenger carriers but also as good carriers. Havent we come across a harried pillion rider carrying

varying things from pipes to bedding to water cans?

It comes as no surprise when India is ranked as the second largest two-wheeler market in the world.

The graphic above shows the breakup of production of automobile in India. In 2008-2009, more than 76

million two wheelers were manufactured in India. Domestic sales of two-wheelers form a major chunk at

76% of total sales. Hero Honda and Bajaj Auto are the leaders in the two wheeler market in India. In India,

the two wheeler segment was the first to secure export orders.

Types of two wheelers in India

Motorcycles segment dominates with an 80% market share. The demand is huge for new and powerful

variants. The 125cc motorbikes are finding favour with majority of the motor cycle owners. Apart from

the motorcycles that are traditionally used by men, the scooterettes (60cc upwards) have also

contributed towards a spurt in two-wheeler sales. These allow the housewives, high-school and college

going children, working women and the elderly to be mobile. Then there are mopeds that are nothing but

a sophisticated motorized cycle. Your neighbourhood green grocer or kirana store may use it for home

deliveries these as they are highly affordable.


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Why are Two Wheelers so popular in India

The growing middle class population, prosperous rural India and the paucity of reliable public transport

system is leading to a large number of two wheelers added to the roads everyday. Indian roads in most

cities, villages and towns are narrow. Two-wheelers allow people to navigate such roads easily.

Fuel-efficiency is a huge advantage. With the cost of petrol increasing steadily, two-wheeler makes the

daily travel both affordable and convenient. Easy availability of auto finances at attractive schemes hasmade a two-wheeler a must in most urban and rural homes.

Les in IIt has been more than 50 years now that bikes have been ruling the Indian automobile sector. In

1955, the Indian government needed sturdy and reliable motorcycles for its Army and police to patrol the

rugged border highways. The first batch of 350cc Bullet - the super bike in India of all times, from theRoyal Enfield Company of UK were received and assembled at Chennai. Since then, bikes in India have

been flourishing as a two wheelers segment, and Indian bikes gaining on popularity all across the world.

Talking of bikes cc, bikes having four-stroke engines are thought to be more fuel efficient motorbikes.

They are the main reason for the growth of motorbikes in India as a segment. Indian bikes market share is

about 81.5% of the total two wheeler market in India. Three-fourth of the total exports in the two wheelerautomobile industry are made in the motorcycle segment. Exports are made mainly to South East Asian

and SAARC nations.

India is the manufacturer of some of the best bikes in the world. Hero Honda, Kinetic Motor, TVS Motor,

LML India are some of iconic bike manufacturers in India. There are cheap motorcycles that comprise the

commuter bikes segment, as well luxury bikes like sports bike in India for the new age bikers. Ever year, a

series of latest bike launch keep the sector buzzing. Kawasaki Ninja, Bajaj Pulsar 135 LS, and Honda

Unicorn Dazzler are some of the latest motorcycle models that have made news in the recent past.

Besides, there are also a number of new bikes in India that are awaiting a launch in the near future

This section provides detailed information on every bike in India, features of motorcycles, motorcycle

parts, and cheap motorcycles. If you are planning to buy a new bike, you will get here all the details of

new bikes, cheap bikes, used bikes, bikes for sale, a complete 2 wheelers list, and authentic bike reviews.

And for the die-hard bike lovers, this is the ultimate destination to get high-resolution pictures ofmotorcycle, industry-sourced motorcycle reviews and descriptions of first-hand motorcycle test rides.

Following is a comprehensive list of motorcycle in India.


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Indian Two wheeler Industry in 2010

The Indian two-wheeler industry has come long way since its humble beginning in 1948 when Bajaj Auto

started importing and selling Vespa Scooters in India. Since then, the customer preferences have changed

in favour of motorcycles and gearless scooterettes that score higher on technology, fuel economy and

aesthetic appeal, at the expense of metal-bodied geared scooters and mopeds. These changes in customer

preferences have had an impact on fortunes of the players. The erstwhile leaders have either perished orhave significantly lost market share, whereas new leaders have emerged

Rising income levels, reducing excise duties, higher loan tenure and loan-to-value offered by the financing

companies have all fuelled the growth of two-wheeler demand. Besides, mounting traffic chaos and

limited parking space has also increased the demand for two-wheelers from households that can afford or

actually do own a car. Furthermore, with increasing women working population, changing social

philosophy and broad-mindedness, the penetration of two-wheelers in target population has increased

significantly during last one decade especially in urban areas. However rural areas and smaller towns still

remains considerably underpenetrated market. It foresees rising income levels combined with increase in

finance penetration in rural areas and smaller towns, the demand for two-wheelers will grow swiftly in

short to medium term period. Sighting this huge growth opportunity two-wheeler manufacturers have

started launching models catering to the needs of rural demand.

It has developed a statistical model that attempts to forecast the domestic two wheeler sales on the basis

of ownership cost and the target population that includes young populace that can afford but do not own

a two wheeler. Other qualitative factors like macro-economic outlook, consumer confidence, willingness

of vehicle financers to finance TWs, etc. have also been quantitatively built in demand forecasting model.

After a strong recovery industry posted in FY10, which was continued even in first quarter of FY10, It

foresees the high growth levels witnessed currently would stabilise in next 2-3 year period. Nevertheless

the industry would register a healthy growth during FY10-FY15 period. According to Research, rural

India would drive the growth, whereas the opportunity in urban India, especially bigger cities, would

become limited in days to come.

In FY10, almost all the manufacturers reported healthy rise in their top-line, driven by growth in both

volumes and realisation. Operating margins also observed improvement owing to drop in raw material

prices. However, Research foresees that industry would face challenge of rising input cost and rising

competition levels which would strain margins considerably in short to medium term period.

Ratings company Credit Analysis and Research (CARE) on Wednesday said the two wheeler industry is

expected to grow at 19.4 percent this fiscal.

"Longer term outlook is also expected to be healthy, with the domestic sales projected to grow in

double-digits over the next five years," the company said in a statement.

CARE also said that it expects investment for capacity expansion of about Rs.900-Rs.1,000 crore in thesector over the next two-three years. The investment would also be focused towards product

development.

"Around 1.6 crore two-wheelers are aged above 10 years, as against the domestic sales of 93 lakhs in

the fiscal 2010. The demand for replacing old two-wheelers is a huge growth potential for the industry

in coming years," said D.R Dogra, chief executive and managing director, CARE Ratings.

The industry showed considerable growth in the last year with cumulative growth of 26.4 percent over

the corresponding financial year.


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"The acceleration continued in fiscal 2010-2011 with the first five months (Apr-Aug 2010) registering a

growth of 27.2 percent"," the statement added.

Key players in the Two-wheeler Industry:

After facing its worst recession during the early 1990s, the two-wheeler industry bounced back with a

25% increase in volume sales in February 1995. The scooters are considered as family vehicles. There are

many two-wheeler manufacturers in India. Major players in the 2-wheeler industry are Hero Honda

Motors Ltd (HHML), Bajaj Auto Ltd (Bajaj Auto) and TVS Motor Company Ltd (TVS).

The other key players in the two-wheeler industry are Kinetic Motor Company Ltd (KMCL), Kinetic

Engineering Ltd (KEL), LML Ltd (LML), Yamaha Motors India Ltd (Yamaha), Majestic Auto Ltd (Majestic

Auto), Royal Enfield Ltd (REL) and Honda Motorcycle & Scooter India (P) Ltd (HMSI).

Bajaj Auto Ltd.

Bajaj Auto is a major Indian automobile manufacturer started by a Rajasthan merchant. It isbased in Pune, Maharashtra, with plants in Chakan (Pune), Waluj (near Aurangabad) andPantnagar in Uttaranchal. The oldest plant at Akurdi (Pune) now houses the R&D centreAhead. Bajaj Auto makers and exports motor scooters, motorcycles and the auto rickshaw.

The Forbes Global 2000 list for the year 2005 ranked Bajaj Auto at 1946. Over the lastdecade, the company has successfully changed its image from a scooter manufacturer to a

two wheeler manufacturer. Its product range encompasses scooterettes, scooters andmotorcycles. Its real growth in numbers has come in the last four years after successful

introduction of a few models in the motorcycle segment.

The company is headed by Rahul Bajaj who is worth more than US$1.5 billion

Bajaj Auto came into existence on November 29, 1945 as M/s Bachraj Trading CorporationPrivate Limited. It started off by selling imported two- and three-wheelers in India. In 1959, itobtained license from the Government of India to manufacture two- and three-wheelers and itwent public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to

produce and sell 100,000 vehicles in a single financial year. In 1985, it started producing atWaluj near Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a single


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financial year. In 1995, it rolled out its ten millionth vehicle and produced and sold 1 millionvehicles in a year.

According to the authors ofGlobality: Competing with Everyone from Everywhere forEverything, Bajaj has grown operations in 50 countries by creating a line of value-for-moneybikes targeted to the different preferences of entry-level buyers

Company Background

Bajaj Auto Ltd. was incorporated in 2007. The company has its manufacturing facilities in Waluj and Chakan in Mahara

has discontinued manufaturing scooters in Akurdi.

The company is under the chairmanship of Rahul Bajaj. The Rahul Bajaj family holds nearly 49 per cent stake in Bajaj A


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Company Background

Bajaj Auto Ltd. was incorporated in 2007. The company has its manufacturing facilities in Waluj andChakan in Maharashtra and Pant Nagar in Uttaranchal. The company's corporate office is located at

Akurdi, near Pune in Maharashtra, where it earlier manufactured scooters. It has discontinued

manufacturing scooters in Akurdi.

The company is under the chairmanship of Rahul Bajaj. The Rahul Bajaj family holds nearly 49 per

cent stake in Bajaj Auto Ltd. The present management is lead by Rahul Bajaj's sons Rajiv Bajaj(Managing Director) and Sanjiv Bajaj (Executive Director).

In April 2007, following a scheme of demerger, the erstwhile Bajaj Auto Ltd was trifurcated.

According to the scheme, two new companies were created, Bajaj Finserve Ltd. (BFL) and Bajaj

Holdings and Investment Ltd. (BHIL). The auto manufacturing business was transferred to BHIL and

the consumer finance, insurance and the wind energy business was moved to BFL. On 20 February

2008, BHIL was renamed as Bajaj Auto Ltd. The existing Bajaj Auto Ltd. was renamed as Bajaj

Holdings and Investment Ltd. on 14 March 2008. Bajaj Holding and Investment is the holding

company for Bajaj Auto Ltd. and Bajaj Finserve Ltd.

In early 2009, Rahul Bajaj did business settlement with his brother Shishir Bajaj by exiting Bajaj

Hindustan and Bajaj Consumer Care. His 3 cousins, Shekhar, Madhur and Niraj assist him in

controlling the Bajaj Group of companies which includes Bajaj Auto Ltd, Bajaj Electricals, Mukund

Ltd, Bajaj Finserv, Bajaj Holding and Investments Ltd, and Hercules Hoist Ltd amongst others.

Bajaj Auto is a manufacturer of two wheeler motor cycles and three wheeler carriers. The company

manufactures motor cycles in the 100-220 cc performance category. Its flagship motorcycle brand is

the 'Pulsar'. In the three wheeler category, the company manufactures rear engine auto rickshaw

which is used as a passenger carrier and cargo carrier.


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Executive Summary


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T V S Motor Co. Ltd. Mar 2005 Mar 2006 Mar 2007 Mar 2008 Mar 2009 Mar 2010

Rs. Crore (Non-Annualised) 12 mths 12 mths 12 mths 12 mths 12 mths 12 mths

-

Total income 3410.89 3817.97 4551.48 3784.94 4089.46 4817.59

Sales 3321.25 3731.75 4472.01 3683.53 4008.91 4679.59

Income from financialservice

s14

.31 33

.6 31

.63 27

.36 13

.32 16

.65

Total expenses 3275.08 3756.17 4447.48 3779.24 3997.82 4727.63

Raw material expenses 2022.9 2420.48 2908.18 2500.44 2753.53 3169.76

Power, fuel & water charges 27.41 36.47 43.1 41.79 46.25 49.74

Compensation to employees 140.95 157.09 172.27 176.37 204.52 251.25

Indirect taxes 466.35 511.68 630.16 466.48 340.08 320.58

Selling & distribution expenses 347.49 353.66 413.91 333.43 342.95 501.51

Other operational exp. of indl. enterprises 0 0 0 0 0 0

Other oper. exp. of non-fin.service

enterprises 0 0 0 0 0 0

PBDITA 300.66 290.57 220.34 149.56 202.59 257.58

PBDTA 292.33 269.58 180.01 131.91 135.93 180.65

PBT 201.87 173.95 90.53 35.37 31.1 76.17

PAT 138.99 122.5 66.28 31.77 31.08 88.01

Net worth 678.83 766.12 809.27 821.58 813.13 865.38

Paid up equity capital (net of forfeited capital) 23.75 23.75 23.75 23.75 23.75 23.75

Reserves & surplus 655.08 742.37 785.52 797.83 789.38 841.63

Total borrowings 186.84 385.04 633.56 666.34 893.89 989.38

Current liabilities & provisions 507.8 586.9 626.75 566.75 627.92 747.99

Total assets 1537.6 1905.57 2266.78 2274.62 2560.68 2774.16

Gross fixed assets 1294.12 1433.09 1688.84 1817.54 1905.79 1936.19

Net fixed assets 770.48 821.46 1002.91 1043.05 1036.37 982.78

Investments 175.39 344.19 344.74 338.96 477.71 739.26

Current assets 479.43 626.38 806.59 704.73 774.44 794.07

Loans & advances 32.22 29.24 15.81 70.06 119.23 171.12

Growth (%)

Total income 3.01846902 11.934715 19.212042-

16.8415548 8.04557008 17.8050403

Total expenses 3.46398436 14.6894122 18.4046515-

15.0251378 5.78370254 18.2551991

PBDITA

-

1.09217712

-

3.35595024

-

24.1697353

-

32.1230825 35.4573415 27.1434918

PAT 0.90018149

-

11.8641629

-

45.8938776

-

52.0669885

-

2.17186025 183.172458

Net worth 9.30878036 13.9899409 7.19813799 2.40832257

-

4.03350633 13.213608

Total assets 19.0452226 23.9314516 18.9554831 0.34586506 12.5761666 8.33684802

Profitability ratios (%)

PBDITA Net of P&E/Total income net of P&E 7.77896725 7.47289132 4.80875134 3.49923912 4.94536134 4.27374472

PAT Net of P&E/Total income net of P&E 2.98472497 3.06335284 1.4219166 0.37101071 0.750609 0.71379535

PAT Net of P&E/Avg. net worth 16.0554483 16.1611128 8.21130006 1.71321703 3.75479443 4.05121209

PAT/Avg. net worth 22.1713538 16.955604 8.41442436 3.89612779 3.80250931 10.4866816

PAT Net of P&E/Avg. total assets 7.11506039 6.78212229 3.10041104 0.61522878 1.26941451 1.27463991


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PAT/Avg. total assets 9.82535761 7.11553597 3.17710643 1.39912802 1.28554588 3.29944291

Liquidity ratios (times)

Current ratio 0.94413155 1.00863096 1.10357236 0.98402614 0.82424062 1.08172134

Debt to equity ratio 0.30411641 0.5498058 0.84392525 0.86671609 1.2115614 1.18447485

Interest cover 20.6314526 9.0138161 3.20505827 1.99546742 1.46069607 1.28805408

Debtors

(days) 5

.025652

994.78043143 7

.0171746 10

.14232

95 12

.56

99754 16

.032

9377

Creditors (days) 52.9356451 53.3055364 48.9477176 49.5455181 52.6893875 54.6698974

Efficiency ratios (times)

Total income / Avg. total assets 2.4789796 2.30490415 2.24874939 1.70874181 1.73753399 1.84249496

Total income / Compensation to employees 24.1992905 24.3043478 26.4206188 21.4602257 19.9954039 19.1744876


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Income & expenditure

T V S Motor Co. Ltd.Mar

2005

Mar

2006

Mar

2007

Mar

2008

Mar

2009 Mar 2010


-

Total income 3410.89 3817.97 4551.48 3784.94 4089.46 4817.59

Sales 3321.25 3731.75 4472.01 3683.53 4008.91 4679.59

Industrial sales 3321.25 3731.75 4472.01 3683.53 4008.91 4679.59

Income from non-financial services 0 0 0 0 0 0

Income from financial services 14.31 33.6 31.63 27.36 13.32 16.65

Interest 7.54 6.97 10.27 9.28 9.6 12.19

Dividends 2.79 6.86 11.81 3.52 0.11 0.14

Treasury operations 3.98 19.77 9.55 14.56 3.61 4.32

Other income 36.61 46.16 45.15 54.5 66.45 67.03

Prior period income & extraordinary income 38.72 6.46 2.69 19.55 0.78 54.32

Change in stock 3.18 60.7 -37.72 26.07 -60.56 -1.95

Total expenses 3275.08 3756.17 4447.48 3779.24 3997.82 4727.63


Packaging expenses 0 0 0 21.57 0 0

Purchase of finished goods 0 0 0 0 0 0



Indirect taxes 466.35 511.68 630.16 466.48 340.08 320.58

Royalties, technical know-how fees, etc. 0 0 0 0 0 0

Lease rent & other rent 4.99 4.45 5.05 5.12 4.38 4.79

Repairs & maintenance 26.67 24.89 29.5 31.46 34.09 48.08

Insurance premium paid 2.87 2.44 3 2.9 1.67 1.58

Outsourced mfg. jobs (incl. job works, etc.) 0 0 0 0 0 0

Outsourced professional jobs 0.31 0.22 0.32 0.33 0.39 0.39

Directors' fees 0.08 0.06 0.25 0.29 0.33 0.24


Travel expenses 12.48 14.46 19.69 21.58 23.46 26.31

Communication expenses 0 0 0 0 0 0

Printing & stationery expenses 0 0 0 0 0 0

Miscellaneous expenses 59.15 59.63 70.34 117.66 139.05 166.48


Other oper. exp. of non-fin.service enterprises 0 0 0 0 0 0

Share of loss in subsidiaries/JVs,etc. 0 0 0 0 0 0

Lease equalisation adjustment 0 0 0 0 0 0

Loss on securitisation of assets/loans 0 0 0 0 0 0

Fee based financial service expenses 0 0 0 0 0 0

Treasury operations expenses 1.38 1.85 1.84 1.28 0.69 91.04

Total provisions 0 0 0 0 0 0

Write-offs 0 0 0 0 0 0

Less: Expenses capitalised 0 0 5.28 6.18 2.05 1.57

Less: DRE & expenses charged to others 0 0 0 54.82 63.42 72.43

Prior period & extraordinary expenses 0.38 0.72 1.09 1.75 0.39 0.31

Interest paid 8.33 20.99 40.33 17.65 66.66 76.93

Financial charges on instruments 0 0 0 0 0 0


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Expenses incurred on raising deposits/debts 0 0 0 0 0 0

Depreciation 89.63 93.91 87.6 94.59 102.88 102.53

Amortisation 0.83 1.72 1.88 1.95 1.95 1.95

Provision for direct taxes 62.88 51.45 24.25 3.6 0.02 -11.84

PAT 138.99 122.5 66.28 31.77 31.08 88.01

PBDITA 300.66 2

90.57 220

.34 14

9.56 202

.59

257.58

PBDTA 292.33 269.58 180.01 131.91 135.93 180.65

PBT 201.87 173.95 90.53 35.37 31.1 76.17


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Income & expenditure


2005

Mar

2006

Mar

2007

Mar

2008

Mar

2009 Mar 2010


-

Total income 3410.89 3817.97 4551.48 3784.94 4089.46 4817.59

Sales 3321.25 3731.75 4472.01 3683.53 4008.91 4679.59

Industrial sales 3321.25 3731.75 4472.01 3683.53 4008.91 4679.59

Income from non-financial services 0 0 0 0 0 0

Income from financial services 14.31 33.6 31.63 27.36 13.32 16.65

Interest 7.54 6.97 10.27 9.28 9.6 12.19

Dividends 2.79 6.86 11.81 3.52 0.11 0.14

Treasury operations 3.98 19.77 9.55 14.56 3.61 4.32

Other income 36.61 46.16 45.15 54.5 66.45 67.03

Prior period income & extraordinary income 38.72 6.46 2.69 19.55 0.78 54.32

Change in stock 3.18 60.7 -37.72 26.07 -60.56 -1.95

Total expenses 3275.08 3756.17 4447.48 3779.24 3997.82 4727.63


Packaging expenses 0 0 0 21.57 0 0

Purchase of finished goods 0 0 0 0 0 0



Indirect taxes 466.35 511.68 630.16 466.48 340.08 320.58

Royalties, technical know-how fees, etc. 0 0 0 0 0 0

Lease rent & other rent 4.99 4.45 5.05 5.12 4.38 4.79

Repairs & maintenance 26.67 24.89 29.5 31.46 34.09 48.08

Insurance premium paid 2.87 2.44 3 2.9 1.67 1.58

Outsourced mfg. jobs (incl. job works, etc.) 0 0 0 0 0 0

Outsourced professional jobs 0.31 0.22 0.32 0.33 0.39 0.39

Directors' fees 0.08 0.06 0.25 0.29 0.33 0.24


Travel expenses 12.48 14.46 19.69 21.58 23.46 26.31

Communication expenses 0 0 0 0 0 0

Printing & stationery expenses 0 0 0 0 0 0

Miscellaneous expenses 59.15 59.63 70.34 117.66 139.05 166.48


Other oper. exp. of non-fin.service enterprises 0 0 0 0 0 0

Share of loss in subsidiaries/JVs,etc. 0 0 0 0 0 0

Lease equalisation adjustment 0 0 0 0 0 0

Loss on securitisation of assets/loans 0 0 0 0 0 0

Fee based financial service expenses 0 0 0 0 0 0

Treasury operations expenses 1.38 1.85 1.84 1.28 0.69 91.04

Total provisions 0 0 0 0 0 0

Write-offs 0 0 0 0 0 0

Less: Expenses capitalised 0 0 5.28 6.18 2.05 1.57

Less: DRE & expenses charged to others 0 0 0 54.82 63.42 72.43

Prior period & extraordinary expenses 0.38 0.72 1.09 1.75 0.39 0.31

Interest paid 8.33 20.99 40.33 17.65 66.66 76.93

Financial charges on instruments 0 0 0 0 0 0


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Expenses incurred on raising deposits/debts 0 0 0 0 0 0

Depreciation 89.63 93.91 87.6 94.59 102.88 102.53

Amortisation 0.83 1.72 1.88 1.95 1.95 1.95

Provision for direct taxes 62.88 51.45 24.25 3.6 0.02 -11.84

PAT 138.99 122.5 66.28 31.77 31.08 88.01

PBDITA 300.66 2

90.57 220

.34 14

9.56 202

.59

257.58

PBDTA 292.33 269.58 180.01 131.91 135.93 180.65

PBT 201.87 173.95 90.53 35.37 31.1 76.17


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Liabilities


2005

Mar

2006

Mar

2007

Mar

2008

Mar

2009

Rs. Crore (Non-Annualised) 12 mths 12 mths 12 mths 12 mths 12 mths

-

Net worth 678.83 766.12 809.27 821.58 813.13

Authorised capital 25 25 25 25 25

Issued equity capital 23.75 23.75 23.75 23.75 23.75

Paid up equity capital (net of forfeited capital) 23.75 23.75 23.75 23.75 23.75

Forfeited equity capital 0 0 0 0 0

Paid up preference capital (net of forfeited capital) 0 0 0 0 0

Capital contibution, suspense and application money 0 0 0 0 0

Reserves & surplus 655.08 742.37 785.52 797.83 789.38

Free Reserves 648.65 735.94 779.09 791.4 779.98

Security premium reserves (Net of deductions) 0 0 0 0 0

Other free reserves 648.65 735.94 779.09 791.4 779.98

Specific Reserves 6.43 6.43 6.43 6.43 9.4

Revaluation Reserves 0 0 0 0 0

Less Accumulated losses 0 0 0 0 0

Total borrowings 186.84 385.04 633.56 666.34 893.89

Bank borrowings 0 34.12 104.14 149.42 323.75

Short term bank borrowings 0 34.12 104.14 149.42 323.75

Long term bank borrowings 0 0 0 0 0

Financial institutional borrowings 0 0 0 0 0

Central & state govt. (usually sales tax deferrals) 0 0 0 0 0

Debentures / bonds 0 0 0 0 0

Convertible 0 0 0 0 0

Non-convertible 0 0 0 0 0

Fixed deposits 0 0 0 0 0

Foreign borrowings 175.01 308.61 446.16 401.3 378.67

Of which : euro convertible bonds 0 0 0 0 0

Borrowings from corporate bodies 0 0 0 0 0

Group / associate cos. 0 0 0 0 0

Borrowings from promoters / directors 0 0 0 0 0

Commercial paper 0 0 0 0 0

Hire purchase borrowings 0 0 0 0 0

Deferred credit 0 0 72.2 103.67 0

Other borrowings 11.83 42.31 11.06 11.95 191.47

Secured borrowings 175.01 308.61 506.16 452.68 622.42

Unsecured borrowings 11.83 76.43 127.4 213.66 271.47

Current portion of long term debt 0 34.12 44.14 202.92 527.79

Current liabilities & provisions 507.8 586.9 626.75 566.75 627.92

Sundry creditors 451.28 523.64 576.12 505.01 549.55


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Acceptances 0 0 0 0 0

Deposits & advances from customers & employees 0 0 0 0 12.09

Interest accrued 0 0 0 0 0

Share application money 0 0 0 0 0

Other current liabilities 0.91 0.82 0.9 0.75 0.79

Provisions 55.61 62.44 49.73 60.99 65.49

Deferred tax liability 164.13 167.51 197.2 219.95 225.74

Total liabilities 1537.6 1905.57 2266.78 2274.62 2560.68

Net worth (net of reval & DRE) 614.37 700.32 750.73 768.81 737.8

Contingent liabilities 190.46 235.5 326.24 211.31 273.2


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Assets


2005

Mar

2006

Mar

2007

Mar

2008

Mar

2009 Mar 2010


-

Gross fixed assets 1294.12 1433.09 1688.84 1817.54 1905.79 1936.19

Land & building 175.59 191.92 201.26 291.96 296.6 296.56

Plant & machinery 1057.7 1129.66 1221.86 1430.66 1496.87 1546.36

Transport & comm. equipment/infrastructure 5.05 5.67 6.26 6.09 6.24 8.17

Furniture,amenities & other fixed assets 44.75 51.16 48.99 55.79 58.43 49.22

Capital work-in-progress 6.9 54.68 150.32 26.57 40.43 27.05

Intangible assets 4.13 0 4.64 6.47 7.22 8.83

Net pre-operative expenses pending allocation 0 0 55.51 0 0 0

Net lease reserve adjustment 0 0 0 0 0 0

Less: Cumulative depreciation 523.64 611.63 685.93 774.49 869.42 953.41

Less: Arrears of depreciation 0 0 0 0 0 0

Net fixed assets 770.48 821.46 1002.91 1043.05 1036.37 982.78

Investments 175.39 344.19 344.74 338.96 477.71 739.26

Equity shares 29.44 156.58 156.58 173.17 254.56 369.39

Preference shares 70.31 70.31 70.31 70.31 70.31 1.5

Mutual funds 61.89 103.22 102.77 72.17 83.61 299.14

Debt instruments 13.75 14.08 15.08 14.08 0 0

Approved securites (slr/statutory req.) 0 0 0 0 0 0

Assisted companies 0 0 0 0 0 0

Others 0 0 0 9.23 69.23 69.23

Less: Provision for dimunition in value of investments 0 0 0 0 0 0

Group companies 101.42 235.84 226.56 247.81 329.2 383.61

Non-group companies 73.97 108.35 118.18 81.92 79.28 286.42

Market value of quoted investments 85.91 147.31 137.38 118.18 55.73 303.98

Deferred tax assets 15.62 18.5 38.19 65.05 77.6 56.84

Current assets 479.43 626.38 806.59 704.73 774.44 794.07

Cash & bank balance 73.87 24.35 86.56 3.73 42.05 101.01

Inventories 233.23 357.9 396.56 405.38 320.55 289.73

Receivables 162.53 244.13 307.46 271.22 397.63 402.63

Expenses paid in advance 9.8 0 16.01 24.4 14.21 0.7

Loans & advances 32.22 29.24 15.81 70.06 119.23 171.12

Deferred revenue expenditure 64.46 65.8 58.54 52.77 75.33 30.09

Total assets 1537.6 1905.57 2266.78 2274.62 2560.68 2774.16


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Growth in Income & Expenditure (%)

T V S Motor Co. Ltd. Mar 2005 Mar 2006 Mar 2007 Mar 2008 Mar 2009 Mar 2

Rs. Crore (Non-Annualised) 12 mths 12 mths 12 mths 12 mths 12 mths 12 mth

-

Total income 3.01846902 11.934715 19.212042-

16.8415548 8.04557008 17.805

Sales 1.87852185 12.3598043 19.8368058

-

17.6314454 8.83337451 16.729

Industrial sales 1.87852185 12.3598043 19.8368058-

17.6314454 8.83337451 16.729

Income from non-financial services Error Error Error Error Error Error

Income from financial services-

42.2983871 134.800839-

5.86309524-

13.4998419-

51.3157895

Interest-

17.0517052 -7.5596817 47.3457676-

9.63972736 3.44827586 26.979

Dividends-

69.4078947 145.878136 72.1574344-

70.1947502 -96.875 27.272

Treasury operations-

39.6054628 396.733668-

51.6944866 52.460733 -75.206044 19.6

Other income 40.6454091 26.0857689-

2.18804159 20.7087486 21.9266055 0.8728

Prior period income & extraordinary income 35100

-

83.3161157

-

58.3591331 626.765799

-

96.0102302 6864.1

Change in stock Error 1808.80503 Error Error Error Error

Total expenses 3.46398436 14.6894122 18.4046515-

15.0251378 5.78370254 18.255

Raw materials expenses 7.33102354 19.6539621 20.1488961-

14.0204527 10.1218186 15.116

Packaging expenses Error Error Error Error Error Error

Purchase of finished goods Error Error Error Error Error Error

Power, fuel & water charges

-

6.57805044 33.0536301 18.1793255

-

3.03944316 10.6724097 7.5459


Indirect taxes-

0.72590259 9.72016726 23.1550969-

25.9743557-

27.0965529 5.7339

Royalties, technical know-how fees, etc. Error Error Error Error Error Error

Lease rent & other rent

-

14.9914821

-

10.8216433 13.4831461 1.38613861 -14.453125 9.3607

Repairs & maintenance

-

15.9470533

-

6.67416573 18.5214946 6.6440678 8.359822 41.038

Insurance premium paid 7.89473684-

14.9825784 22.9508197-

3.33333333-

42.4137931 5.3892

Outsources mfg. jobs (incl. job works, etc.) Error Error Error Error Error Error

Outsourced professional jobs 3.33333333

-

29.0322581 45.4545455 3.125 18.1818182 -4.20

Directors' fees 166.666667 -25 316.666667 16 13.7931034 27.272

Selling & distribution expenses 3.17092723 1.77559066 17.0361364

-

19.4438404 2.855172 46.234

Travel expenses-

21.0626186 15.8653846 36.1687414 9.59878111 8.71177016 12.148

Communication expenses Error Error Error Error Error Error

Printing & stationery expenses Error Error Error Error Error Error

Misc. expenses-

27.2447724 0.8114962 17.960758 67.2732442 18.1795003 19.72

Other operational expenses of indl. enterprises Error Error Error Error Error Error

Operational expenses of non financial serviceenterprises Error Error Error Error Error Error


29/31

Share of loss in partnership firms/subsidiaries/JVs,etc. Error Error Error Error Error Error

Lease equalisation adjustment Error Error Error Error Error Error

Loss on securitisation of assets/loans Error Error Error Error Error Error

Fee based financial service expenses Error Error Error Error Error Error

Treasury operations expenses-

75.5319149 34.057971-

0.54054054-

30.4347826 -46.09375 13094.

Total provisions Error Error Error Error Error Error

Write-offs Error Error Error Error Error Error

Less: Expenses capitalised Error Error Error 17.0454545 -66.828479 23.414

Less: DRE & expenses charged to others Error Error Error Error 15.6877052 14.206

Prior period & extraordinary expenses -69.6 89.4736842 51.3888889 60.5504587-

77.7142857 20.512

PBDITA-

1.09217712-

3.35595024-

24.1697353-

32.1230825 35.4573415 27.143

Interest paid-

19.1262136 151.980792 92.1391139-

56.2360526 277.677054 15.406

Financial charges on instruments Error Error Error Error Error Error

Expenses incurred on raising deposits/debts Error Error Error Error Error Error

PBDTA-

0.45968401-

7.78230082-

33.2257586-

26.7207377 3.04753241 32.899

Depreciation 12.1917637 4.77518688-

6.71919923 7.97945205 8.76413997 0.3402

Amortisation Error 107.228916 9.30232558 3.72340426 3.32E-15 3.32

PBT-

5.57556481-

13.8306831-

47.9563093-

60.9300784-

12.0723777 144.91

Provision for direct taxes-

17.3066807-

18.1774809 -52.866861-

85.1546392-

99.4444444 Error

PAT 0.90018149

-

11.8641629

-

45.8938776

-

52.0669885

-

2.17186025 183.17


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Two Wheelers in India

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