Ashok Leyland expects both its domestic sales and overseas shipments to remain strong for the remainder of the fiscal.
Commercial vehicle maker Ashok Leyland expects the industry to grow at a faster pace in the coming quarters as economic activity picks up and demand for vehicles picks up, a senior company official told PTI. The Chennai-based company expects both its domestic sales and overseas shipments to remain strong for the remainder of the fiscal.
The company’s whole-time director and CFO Gopal Mahadevan told PTI-language that the pandemic and some uncertainties at the global level are now behind the industry. “There is no reason why the commercial vehicle industry should not develop,” Mahadevan said.
Addressing the question whether the worst is behind the commercial vehicle industry, which has seen its sales decline in the past few years due to regulatory changes and low offtake during the pandemic, Mahadevan said that the industry is brimming with trucks and buses. expected to grow. Well. “Truck sales will improve as many industries will need more units as they are running at full capacity,” he said.
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He said that now that the fear of Kovid is easing, and schools, colleges and offices are opening, this will increase intercity and intracity travel, which will help in the sale of buses. Mahadevan said, “E-commerce has increased… so, what is happening is that e-commerce will become a big driver, and last-mile delivery will become very important.”
Speaking about exports, Mahadevan said that the company expects an increase in dispatches in the current financial year as compared to FY 2012, thereby improving the demand scenario in the markets. During the last financial year, the company shipped around 11,000 units and the tally is expected to improve in the current financial year.
Ashok Leyland expects to further increase its exports to SAARC, Middle East and Africa, as well as better dispatches this year owing to its improved product range.
First published date: 31 July 2022, 13:12 PM IST