Pune-based two-wheeler manufacturer Bajaj Auto Ltd on Tuesday unveiled 200 cc Pulsar DTS-i and said the company would have a turnover of Rs 10,000 crore in the current financial year, up nearly 25 per cent from 2005-06. "We expect the net profit to increase by 10 to 15 per cent this year," Bajaj Auto managing director Rajeev Bajaj told newsmen. Pulsar 200 will carry a price tag of Rs 65,497 (ex-showroom in the Capital).
Bajaj Auto had posted a net profit of Rs 1101.63 crore in 2005-06. The company hopes to sell 2.8 million units of vehicles in 2006-07. Of this, 2.5 million will be motorcycles.
Bajaj parried all queries on reports about demerger of Bajaj Auto into separate financial and automobile companies. "This is not a demerger meeting," he told newsmen.
The company hopes to sell 50,000 units of Pulsar per month from June, which will be available in 150 cc, 180 cc, 200 cc, and 220 cc engine capacities. In January, Bajaj Auto sold 43,000 units of Pulsar.
Bajaj Auto will be unveiling its new platform of motorcycles in July-September this year. The company had last week announced exit from the 100 cc motorcycle segment.
"We are confident that the majority of 100 cc buyers would shift to the new segment within a year. The 100 cc market will come down from 61 per cent to 20 per cent," Bajaj asserted.
He ruled out any price increase of motorcycles as the company was operating on 14.20 per cent margin. "We hope to sustain the present operating margins in the fourth quarter too," he added.
Bajaj said the company plans to set up a 5 lakh per annum greenfield project to manufacture 3 and 4-wheelers. "The scale of operation is essential for the successful operation of the project. We will identifying the site of the new project this year," he stated. The 4-wheeler would be a goods carrier, he clarified.
Bajaj Auto plans to shift the low-end motorcycles manufacturing to its Pantnagar plant so as to advantage of the tax benefits offered by the State government. The excess capacity at the existing Aurangabad factory will be utilised for making Pulsar and other motorcycles, Bajaj stated.