Bajaj Auto FY25 Annual Earnings Summary

Nigeria volumes dropped from 50,000/month benchmark to under 5,000 in April, recovering to only 15,000; Africa sales down 40% YoY.

Associate Pierer Mobility reported a loss of EUR 172 million in H1 2024, leading to a INR 580 crore hit on consolidated PAT. Management declined to provide forward guidance on this.

KTM exports dropped ~50% due to financial restructuring in Austria; revival depends on court-supervised process by Feb 25, but outcome uncertain.

Continued supply of rare earth magnets from China is uncertain; any delay could seriously impact EV production by July 2025.

Rising aluminum and copper prices could impact margins by 50-70bps in Q2; pricing actions only partially offset.

Chetak remains loss-making despite cost reductions; management declined to disclose specific margin, indicating profitability is still distant.

Analyst noted lackluster demand in the 250-500cc segment despite multiple launches; management acknowledged the trend but offered no specific mitigation.

Africa continues to decline across major markets, though decline rates have reduced. Nigeria recovery is fragile due to currency volatility.

Motorcycle industry growth during festive season has been muted at 1-2%, below the expected 5-6%, with 100cc segment declining.

Significant discounting in the EV two-wheeler market could pressure Chetak margins, even as cost reductions are achieved.

Currency-led volatility, particularly in South Asia and Africa, could impact export growth and margins.

Adoption of Freedom is slower than expected due to sparse CNG pump density and lower savings for low-mileage users; market development efforts may take time.