Hero MotoCorp to invest Rs 600 crore for new parts centre in Andhra Pradesh
The capacity addition will be done in the financial year 2025-26.
In a bid to expand its parts, accessories and merchandise business, Hero MotoCorp will invest up to Rs 600 crore over two years to set up a Global Parts Centre in Tirupati, Andhra Pradesh. The company’s focus on the Parts Accessories and Merchandise (PAM) business has led to the business crossing annualised revenue of Rs 5,000 crore. To support growth in this business, the company has planned for an expansion of its capacity with an outlay of Rs 600 crore. The new parts centre will have a storage capacity of up to 36,700 SKUs.
Currently, India’s largest two-wheeler maker has one Global Parts Center located in Neemrana, Rajasthan, with a storage capacity of up to 26,000 SKUs. The capacity of the Neemrana facility is fully utilised, the company said.
The additional capacity addition will be done in the financial year 2025-26, and the investment will be financed through internal accruals.
India's largest two-wheeler maker posted standalone net profit growth of 51% on year to Rs 1,073.38 crore, aided by a healthy operating performance during the quarter. Revenue from operations rose 21% to Rs 9,723.73 crore as volume grew on a low base in the year-ago quarter.
RELATED ARTICLES
Honda Cars India Total Sales Decline 14.7% in March
While domestic sales showed a modest increase of 2.22% in March, exports saw a significant decline of 32.13%, resulting ...
One-in-Three Maruti Vehicles Sold in FY25 Ran on CNG
India’s largest car maker Maruti Suzuki sold around 6.2 lakh CNG-powered passenger vehicles, representing a growth of ov...
Debmalya Sen Appointed IESA President to Accelerate India's Energy Storage Growth
Former World Economic Forum executive brings experience in renewable energy and policy development to lead organization ...