Mumbai, Feb 4 (UNI) Two wheeler major, Hero Honda today said its sales increased marginally on lower raw material prices for the third quarter ended December 31.
The lower raw material prices boosted the sales by four per cent quarter-on-quarter basis as aluminium and copper prices declined during the same period, the Company said in a statement.
The net sales of two wheelers grew by 2.9 per cent year-on-year basis in the quarter while its earnings before interest, taxes depreciation and amortization (EBITDA) margin improved by 260 basis point to 13.9 per cent, above expectation of 11.7 per cent, the Company said.
Margin improvement was attained inspite of the Rs 2,000 discount on CD series bikes for about a month, the Company said, adding, ''We believe that this was achieved by increase in sales of +125cc as well as deluxe version of bikes.'' The Company focused on containing costs, controlled advertising and marketing expenditure, and lower cost of imported alloy wheels during the quarter, it added.
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