Auto Sales May 2024: RE Sales Down by 8.25% Compared To Last Month

Published on 10 Jun, 2024, 10:09 AM IST

Updated on 21 Dec, 2024, 8:47 PM IST

Chinmay Hadkar

4 min read

Top stories and News

Royal Enfield sales dip in May 2024, but exports surge

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Royal Enfield reported a dip in sales figures for May 2024. Overall sales witnessed an 8 percent decline compared to May 2023, with 71,010 units sold. This decrease was driven by a 12 percent drop in domestic sales. However, there were bright spots in the report as well.

Royal Enfield's higher-capacity motorcycles (above 350cc) experienced a healthy 32 percent growth in sales. This segment, which includes models like the Himalayan 450 and the 650 Twins, appears to be gaining traction with consumers seeking more powerful machines. Additionally, Royal Enfield's export market thrived in May 2024, with a remarkable surge of 12 percent.

Royal Enfield	May-24	May-23	Diff	Growth percent YoY	Percent Share May 24
< 350cc	59,852	69,038	-9,186	-13.31	84.22
> 350cc	11,158	8,423	2,735	32.47	15.7
Domestic	64,238	73,206	-8,968	-12.25	90.39
Exports	6,832	4,255	2,577	60.56	9.61
Total	71,070	77,461	-6,391	-8.25	100

The bread-and-butter sub-350cc segment, featuring motorcycles like the Classic 350 and Bullet 350, continues to be the top contributor to Royal Enfield's sales, though it did experience a 13 percent decline in May 2024. Looking at a broader timeframe, Royal Enfield's year-to-date (YTD) performance for the financial year 2025 (FY25) paints a slightly more positive picture. YTD sales show a marginal increase of 2 percent compared to the same period in FY24. Notably, exports for the YTD period jumped by an impressive 31 percent.

Royal Enfield	May-24	Apr-24	Diff	Growth percent MoM	Percent Share Apr 24
< 350cc	59,852	72,866	-13,014	-17.86	89
> 350cc	11,158	9,004	2,154	23.92	11
Domestic	64,238	75,038	-10,800	-14.39	91.66
Exports	6,832	6,832	0	0	8.34
Total	71,070	81,870	-10,800	-13.19	100

While the domestic market decline in May 2024 is a cause for concern, Royal Enfield's strong export performance and the growing popularity of its larger bikes offer promising signs for the future. It will be interesting to see if the company can address the recent slowdown in the sub-350cc segment and maintain its overall growth trajectory.

Royal Enfield FY25 YTD		FY24 YTD	Diff	Growth percent YoY	Percent Share FY 25
< 350cc	1,32,718	1,33,716	-998	-0.75	86.81
> 350cc	20,162	16,831	3,331	19.79	13.19
Domestic	1,38,569	1,39,676	-1,107	-0.79	90.64
Exports	14,311	10,921	3,390	31.04	9.36
Total	1,52,880	1,50,597	2,283	1.52	100

Royal Enfield New Launches

Currently, Royal Enfield offers a range of models including the Classic 350, Bullet 350, Hunter 350, Meteor 350, Super Meteor 650, Shotgun 650, Interceptor 650, Continental GT 650, Himalayan, and Scram 411. The company is also preparing to launch the highly anticipated RE Guerrilla 450 bike soon. Expected to hit the Indian market before September 2024, the Guerrilla 450 has generated considerable interest among customers. This new model is anticipated to feature a 452cc liquid-cooled single-cylinder engine and a six-speed gearbox.

Royal Enfield's recent launches, like the Himalayan 450 and the Shotgun 650 are doing well but they too have their set of unexpected problems. The upcoming Guerrilla 450 is just the first of several new models planned for the Indian market, a strategy aimed at boosting sales growth.