Bajaj Auto Ltd.
Bajaj Auto, the flagship company of Bajaj Group, is a two-wheeler and three-wheeler manufacturing company that exports to 79 countries across several countries in Latin America, Southeast Asia, and many more. Its headquarter is in Pune, India. It has acquired 48% of the KTM Brand which manufactures sports and super sports two-wheelers, which was 14% in 2007 when the company first acquired KTM.
Key Business segments
Bajaj Auto’s core business is automotive, contributing 97 percent of revenue. Investments add 3 percent. Financing and others are minimal. The company manufactures two-wheelers, three-wheelers, and electric vehicles, exports globally, and earns steady returns from surplus funds. Financing supports vehicle sales, enhancing overall performance and growth strategy.
Revenue Mix FY24
- Automotive – 97%
- Investments – 3%
- Financing & Others – 0% (negligible)
Shareholding Pattern
Financial Summary
| Particulars | Mar-23 | Mar-24 | Mar-25 |
| Sales | 36,455 | 44,870 | 50,995 |
| Sales Growth % | 9.99% | 23.08% | 13.65% |
| Expenses | 29,991 | 36,106 | 41,442 |
| Operating Profit | 6,465 | 8,765 | 9,552 |
| OPM % | 18% | 20% | 19% |
| Net Profit | 6,060 | 7,708 | 7,325 |
| EPS in Rs | 65% | 29% | 80% |
Final Outlook
Bajaj Auto’s FY24 report, the company demonstrated steady growth across domestic segments while navigating export market volatility. Domestic revenue surged to 68% of total sales in FY24, up from 47% in FY22, largely driven by stronger motorcycle sales and increased electric vehicle (EV) adoption. However, exports declined to 32% in FY24 (vs 53% in FY22), due to macroeconomic headwinds in key overseas markets, with volumes falling from 1.82 million units in FY23 to 1.64 million in FY24.
The company’s EV brand, Chetak, showed strong traction, with FY24 sales of over 115,700 units compared to 8,000+ units in FY22. Bajaj currently ranks third in the domestic electric two-wheeler market. Two new variants—Chetak Urbane and Chetak Premium—were launched during the year, expanding reach to over 160 cities. Despite increased operating activity, the company’s total borrowings rose sharply to ₹1,900 crore in FY24, from ₹124 crore in FY23, due to the use of foreign currency loans and packing credit facilities. Analysts flagged a significant increase in short-term leverage, though management clarified the funds were directed toward working capital needs and export operations.
Notably, Bajaj Auto undertook a share buyback of ₹4,000 crore in March 2024, acquiring 40 lakh shares at ₹10,000 each (1.41% of equity), signaling confidence in its long-term growth. The launch of Bajaj Auto Credit Ltd., its captive financing arm, is a strategic step aimed at deepening market penetration. The board has approved a cumulative investment of ₹2,850 crore toward BACL’s national expansion, expected to boost financing access in Tier 2–3 cities.
Looking ahead to FY25, Bajaj plans to:
- Export its Qute quadricycle to Egypt and expand further into Europe.
- Launch six new Pulsar models in H1FY25, strengthening its mid-range motorcycle portfolio.
- Invest ₹600–700 crore in capex for plant maintenance and expansion.
While ICE (Internal Combustion Engine) 3W sales remain dominant, holding ~78% market share, the growing emphasis on urban mobility and EVs is expected to contribute significantly to volumes and margins in the next 2–3 years.
