WSJ on Indian 3-wheeler market-
http://online.wsj.com/article/PR-CO-20130501-908154.html?mod=googlenews_wsj
April Sales figures are out:
April 2012 - 2232
April 2013 - 2250 (growth of just 0.81%)
Need to check on the growth rates for other,
Looking at the april sales data, it seems that the sectoral blues are catching up with atul auto.
Mahindra has reported de-growth of 13% in April sales, 4036 vs 4659. Bajajās reported nos. are not comparable becos they donāt provide the breakup between domestic and export nos.
Usually April is the weakest month of the year as most of the pushing is done in the month of March.
But yes, this may be an indicator of weakness going forward.
Ayush
Atul Auto results & dividend consideration on 18th May.
Raj, interesting discussion on quadricycles. If approved RE60 & other similars might have an impact. But if you see Atulās autos - they mostly are the bigger variants 6-7 ppl type.
Hardtoget: I think Iāve also spotted a couple of Atulās in Pune (I travel there often on work) but didnāt really spot its badge upclose so canāt confirm. But they did look different than the usual Piaggio/Bajaj looks. Will watch out and report in my next trip.
I spotted around 10 Atul autos on the outskirts of Chandigarh too. Chandigarh only allows CNG autos within its premises. This is where the CNG autos from Atul will help expanding the market.
Hi,
Went to the website of Atul Auto to find out how the dealer expansion is taking place. The present delaer breakup is given below. I will try to track this on monthly basis so that we know how the company is expanding its reach. If someone has old data for this we can know wherein company has expanded in last year. For me targetting Bihar, UP, Jharkhand could be big as these are hardcore auto markets.
| State | number of dealers |
|---|---|
| Assam | 2 |
| Andhra | 20 |
| Bihar | 11 |
| Chhatisgarh | 3 |
| Gujarat | 23 |
| Haryana | 4 |
| Himachal | 1 |
| J&K | 3 |
| Jharkhand | 8 |
| Karnataka | 9 |
| Kerala | 15 |
| MP | 12 |
| Maharashtra | 16 |
| Orrisa | 7 |
| Punjab | 5 |
| Rajasthan | 10 |
| UP | 20 |
regards,
1 Like
Hi Saurabh,
This is good data. However, I couldnāt find it in above concise format on their websiteā¦plz share the link, if any.
Ayush
Hi Ayush,
Its not present in this format. I chose a state and then counted the cities where distributors were present and put them in this table 
regards,
saurabh
declared 60% as dividend
Article in mint today regarding restriction of use of bajajās RE60 towards commercial purposes only.
http://www.livemint.com/Industry/b3NveEj7F1FwQu69v4B5WI/Govt-gives-approval-to-quadricycles.html
This could have a impact on the 3 wheeler market. This would run on petrol which would make it a higher cost replacement than atleast the CNG run autos. The final price expected to be priced below 2500$ as per the news report.
atul auto continues to do well. even in this sluggish environment where others have been struggling to grow, atulās sales have bounced back. may sales volumes are up 19.41 percent.
Atul Auto sales for May 2013 are 2516 as compared to April 2013- 2250 an increase of 11.82 % and 19.41% up over previous year as rightly pointed out by Hemant.
Atul Auto reports sales growth of 19.41% in May 2013
Atul Auto Ltd has announced the sales performance figures of the Company for the month of May 2013.
The company has reported sales of 2516 vehicles in May 2013 as compared to 2107 vehicles in May 2012, registering a growth of 19.41% YOY. The total sales for the period April to May 2013 was 4766 vehicles as against 4339 vehicles in the period April to May 2012.
Shares of Atul Auto Ltd last traded in BSE at Rs.191.15, up by Rs.0.85 or 0.45%. The stock hit an intraday high of Rs.198 and low of Rs.189.
The total traded quantity was 4873 compared to 2 week average of 6705.
April 2013 - 2253 VEHICLES APRIL-2012 -2232 VEHICLES
MAY 2013 - 2513 VEHICLES MAY 2013= 2107 VEHICLES
APRIL TO MAY 2013=4766 VEH. APRIL TO MAY 2012=4339 VEH.
Launch in Trivandrum:
Received Atul Autoās annual report yesterday on email. A few observations (most of the data/viewpoints in the AR are already on the Valuepickr thread):
a) There is a distinct change in the way Annual Report has been presented - colors, language, management talk etc. - it almost seemed like they worked with some mgmt. consultants to re-do their AR (they explained their logo and the colors within the logo - it was funny ) - Good info though.
Coming to the more serious parts -
b) There is Revenue from Operations entry for Atul Gemini (itās just around 8 lakh - so, maybe around 8 vehicles sold) as of March 2013. The official launch was in June 2013. So, does that mean that they actually sold Gemini vehicles before the launch? Should I take these as ātest salesā?
c) Advance from Dealers has dropped off quite a bit - from 2.5 cr in 2012 to 91L in 2013. It might make sense to probe deeper into the issues here. Yes, bottlenecks were removed and capacity was increased to 48K. There is no waiting time (presumably) and hence no need for advance from dealers. But at the same time, the footprint of dealers has increased dramatically too. So, the conclusion seems to be that penetration at the new dealers might be taking more time than expected.
d) Vijay Kedia and related companies own close to 20% of the company.
e) Given the slowdown in the auto sector, and having sold 32K vehicles last year, it might still take a year or more to hit the 48K mark. So, looks like the 100 cr capacity expansion wonāt happen yet. But they are building up the cash for it, as seen in the AR.
f) Not much has been spoken of Gemini DZ. Maybe itās the stuff for concalls.
Any other observations that stand out from the AR?
Disc: Invested.
Hi Kiran,
Yes, the latest AR is all revamped and quite detailed in terms of information.
The advance from dealer has gone down as the waiting period is not there due to the capacity increase done by the co. However, the dealer deposits have increased by 25% from about 2 Cr to 2.5 Cr.
I think the key trigger for them to be able to utilize the expanded capacity is the new smaller vehicle launchā¦which may help them in penetrating export potential too.
Ayush
Bajaj Auto has decided toexit the cargo three-wheeler segment and focus solely on the passenger segment.
Last year, domestic sales for cargo 3-wheelers was about 97k, and Bajaj auto has a 42% share in the overall 3 wheeler segment, so am assuming they have similar share in the cargo segment too (if any one has exact numbers please add the details here). So, we are looking forwad to a ~40k of cargo 3-wheeler, unmet demand in the market to be filled by the likes of Atul, Mahindra & Piagggio ?
Also this segment saw declining sales of about ~9%last year, this year the forecast from crisil is for about 4% growth.
Additionally 2.5k of vehicles were exported last year in this segment, guess majority were from Bajaj.
Letās see how it plays out.