Reeling under pressure of declining sales volumes and a dip in market share, India's third largest two-wheeler maker TVS Motor Co expects a turnaround its fortune with a slew of launches in the next fiscal.
The company, which reported 40 per cent decline in motorcycle sales during April-December 2007-08 period, sees annual sales growing to touch the 1.7-million units mark in 2008-09.
"Lack of finance availability, especially in B and C towns has led to a decline of 12 per cent in the overall motorcycle market during the current fiscal. The decline is more pronounced in the entry-level segment, which slipped nearly 25 per cent. TVS has up to now been largely dependant on this segment and has therefore felt the pinch," TVS Chairman Venu Srinivasan told reporters here.
The Chennai-based firm is now banking heavily on its new executive segment offering, 125 cc 'Flame', to revive sales during the last quarter of this fiscal. It expects to sell 40,000 units of Flame in January-March period.
The bike has been at the centre of a storm with rival Bajaj alleging the company of infringing patent, for which the two companies are fighting it out at the court.
He said the company would be launching a slew of products including a scooter, two motorcycles and three-wheelers in the coming few months to revive sales in the next fiscal when it plans to put out as many as 1.7 million vehicles on Indian roads.