New Delhi: Hinduja Group flagship Ashok Leyland on Friday mentioned it has resolved to postpone the start of its overall Phoenix challenge thanks to the demanding enterprise ecosystem right now owing to coronavirus pandemic.
The Chennai-based mostly firm, which was all established to introduce a slew of light-weight industrial motor vehicles (LCV) beneath the Phoenix codename in the course of April-May perhaps period of time, now strategies to start this challenge in September quarter.
“The model alone is ready it is just since of the present condition that we have resolved to change the timing. We will start the solution within just the up coming three months,” Ashok Leyland MD Vipin Sondhi mentioned in an analyst get in touch with on June twenty sixth . As for every the firm, the motor vehicles beneath this challenge weigh in between 5-7.5 tonnes.
We have methodically developed our presence in the ICV segment over the final couple decades in which we at the moment hold about 22% current market shareGopal Mahadevan, Director & CFO, Ashok Leyland
With this start, the truckmaker is anticipating to see enormous accretion in its LCV enterprise in which it at the moment holds eighteen percent current market share. At current, the country’s next-largest industrial vehicle company has three platforms in the LCV category – Dost, MiTR and Partner. Positioned in the goods carrier category, Ashok Leyland’s Dost is the most well-known solution in LCV area which will come in 5 variants with a gross vehicle pounds (GVW) of 2-three.5 tonnes.
In the Intermediate Commercial Auto (ICV) segment, the firm claims to have the largest selection of choices and variants which include Boss and Guru styles. “We have methodically developed our presence in the ICV segment over the final couple decades in which we at the moment hold about 22 percent current market share, which has been quite much healthier than the yr earlier,” Gopal Mahadevan, Director & CFO, Ashok Leyland mentioned.
Previously this thirty day period, the firm released a modular truck platform AVTR with BS-VI motor that allows prospects to configure the medium and large industrial motor vehicles (M&HCV) according to their necessities. This new platform will create a slew of rigid vehicles, tippers and tractors in the eighteen.5 tonnes to fifty five tonnes category.
“With the AVTR platform, we have transformed three platforms into just one. We are confident that we will proceed to enrich our aim on both ICV and tippers. Lengthy-haul will often continue being core,” Sodhi highlighted.
When queried about the capex estimation for the ongoing fiscal, Sondhi without having disclosing the correct figures mentioned that the major Capex cycle for the immediate is over. Nevertheless, in the course of an analyst get in touch with in the thirty day period of February, the firm has resolved not to exceed its regimen capex outside of Rs four hundred – five hundred crore for the up coming four-5 decades.
Ashok Leyland closed the monetary yr 2019-2020 with a adverse doing work capital of Rs seven-hundred crore and about 35 percent lower capex spending. The capex of the firm in FY’20 stood at Rs one,227 crore as in opposition to the prepared investment decision of Rs 2,000 crore.
Also Go through: Truck companies’ potential customers depend on when lockdown is lifted: Ashok Leyland
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