Ashok Leyland Posts Record Sales Growth in Bus and Truck Segment
Published On Apr 20, 2016
Continuing its successful run, Ashok Leyland witnessed record growth in the medium and heavy commercial vehicles market in India during the last fiscal year. The Chennai-based manufacturer outperformed its nearest rivals and gained significant market share during 2015-16.
The Hinduja Group flagship company registered high sales growth (31 to 32 percent) in the M&HCV segment with 2,58,488 units sales, as compared to the sales of 1,95918 units in 2014-15. Exceeding all the odds, the Chennai based manufacturer recorded an unprecedented growth of 49 percent each in the goods and passenger segments.
In the trucks segment itself, Ashok Leyland's market share surged to 31 percent during the last fiscal year, as against 27 percent recorded in FY2015. While in the bus segment, it regained its top spot from Tata Motors by grabbing a market share of 45 percent.
“We have gained market share in all regions including South, which accounts for about half of our volumes. There were three major factors that contributed to our turnaround and gain in market share network expansion, new product introductions and realignment of sales and internal operations. While all players had the benefit of market recovery over the past couple of years, we were able to grow quite disruptively because we had not only strengthened network and product portfolio, but also became operationally more efficient,” said Gopal Mahadevan, CFO, Ashok Leyland.
In the past seven years, Ashok Leyland has increased its total number of sales and service points to 1275 units. Besides stretching its network, the company had also improved its after sales service quality, which helped in garnering more number of sales. On the other hand, factors like revamping product portfolio, launching new models and building vehicles with world class standards helped the auto manufacturer in registering such massive growth.