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 |
