Shares of Hero MotoCorp, the country’s largest two-wheeler manufacturer, surged as much as 1.15% to hit a 52-week high of ₹5,100.20 apiece on the BSE, a day after the two-wheelers giant joined ONDC (Open Network for Digital Commerce) network. Hero MotoCorp is the the first auto manufacturer to join this digital commerce network.
The scrip opened higher at ₹5,051 as against the previous closing price of ₹5,041.90. At 12:23 pm, the share price of the two-wheeler manufacturer was down 0.05% to ₹5,039.45. This was in line with the broader BSE Sensex, which was trading 149.55 points or 0.20% lower at 72,955.06.
The company’s market capitalisation stood at ₹1,00,754.28, with 7,440 shares exchanging hands on the BSE, as against the two-week average of 0.45 lakh shares. The company hit a 52-week low of ₹2,668.75 on May 19 last year.
In the past one month, three months and one year, the counter has surged 15.19%, 4.72% and 87.27%. In the year-to-date period, the counter has surged 22.60%.
Notably, Hero MotoCorp commands a 32.25% market share in the domestic two-wheelers segment. As the competition in the country’s two-wheeler segment heats up, the company says that its partnership with ONDC will further enhance its reach and convenience, providing an easily accessible digital mode for customers.
The two-wheeler manufacturer says that ONDC will initially offer two-wheeler parts, accessories, and merchandise. “Customers can easily discover Hero Genuine Parts by using any buyer apps on the Network, such as Paytm and Mystore, among others,” says Hero MotoCorp.
According to the two-wheeler manufacturer, this integration with ONDC will speed up order processing by enabling hyperlocal deliveries backed by Hero MotoCorp’s extensive physical distribution.
“At Hero MotoCorp, customer-centricity and digital innovation are at the core of everything we do. Now with ONDC Network, we have pioneered the automotive taxonomy for the auto industry, making it easier for customers to find vehicle parts and accessories to begin with. With this initiative, Hero MotoCorp is furthering the Government’s Digital India mission and we will continue to bring in more innovation in this space,” says Niranjan Gupta, CEO, Hero MotoCorp.
Meanwhile, the country’s largest two-wheeler maker reported a consolidated net profit of ₹943 crore for the quarter ended March, reflecting a growth of 16% over the same period last year. EBITDA (earnings before interest, tax, depreciation and amortisation) margin for the quarter was at 14.3%, an improvement of 120 basis points on a year-on-year basis, driven by product mix, lower commodity costs, higher savings, and judicious price increases. Hero MotoCorp said it will take big strides in electric vehicles (EVs) through product launches in the mid and affordable segments in the coming year.
