Hero MotoCorp surpasses 5.11 lakh registrations in April 2025 despite output halt, VIDA EVs continue uptrend

Hero MotoCorp Limited, the world’s largest two-wheeler manufacturer, demonstrated robust retail traction in April 2025 with over 5.11 lakh VAHAN registrations, even as total dispatches dipped to 305,406 units due to a temporary, planned production halt. The company’s electric mobility brand, VIDA, continued to post strong momentum with over 7,100 units dispatched during the month. Despite production-related constraints, investor confidence in the company’s long-term growth story appears intact, supported by strong retail demand, export expansion, and an evolving electric vehicle roadmap.

Why Did Hero MotoCorp Dispatch Fewer Units in April 2025?

Hero MotoCorp reported a 42.8% year-on-year decline in dispatches to 305,406 units in April 2025, down from 533,585 units in April 2024. This drop was driven by a temporary suspension of operations from April 17 to 19 across its Dharuhera, Gurugram, Haridwar, and Neemrana plants. The company clarified that the shutdown was part of its operational calendar, enabling supply chain synchronization and maintenance upgrades across facilities. Normalization is expected through May, with dispatch volumes likely to rebound accordingly.

Domestic dispatches stood at 288,524 units compared to 513,296 units in the same month last year, while exports declined to 16,882 units from 20,289 units. Although these headline figures point to a contraction, underlying retail data suggests that Hero’s market presence remains strong, reflecting continued consumer pull at dealerships.

What Drove Hero’s Retail Momentum to Over 5.11 Lakh Registrations?

According to VAHAN data (excluding Telangana), Hero MotoCorp posted over 5.05 lakh ICE two-wheeler registrations and an additional 6,123 electric vehicle registrations in April. The combined retail figure of 5.11 lakh indicates solid dealer-level sales and effective inventory management, even in the face of curtailed production. This retail performance builds on the company’s month-on-month improvement in retail market share observed through Q1 CY2025.

The rise in registrations also reflects pent-up rural demand and broader macroeconomic recovery in India’s Tier-2 and Tier-3 cities. Hero’s ICE portfolio, spanning the Splendor, HF Deluxe, Passion, and Glamour ranges, continues to dominate entry and commuter segments. The recent rural uptick in tractor and agricultural equipment sales, often used as a proxy for disposable rural income, may have also supported Hero’s April numbers.

How Is VIDA Performing in the Electric Scooter Market?

VIDA, Hero MotoCorp’s electric vehicle brand, dispatched 7,116 units of the VIDA V2 model in April. This included 6,123 VAHAN-registered units, representing a healthy year-on-year rise. The EV division is now contributing a growing share of Hero’s urban volume mix, targeting younger, tech-savvy customers in metros and state capitals.

This aligns with India’s broader electrification policy push, including state-level EV subsidies, reduced registration fees, and concessional GST rates. VIDA’s strategic rollouts in EV-friendly states like Karnataka, Maharashtra, and Delhi—combined with product attributes like detachable batteries and connected features—are aiding its volume build-up.

Hero’s recent EV investments include a dedicated EV plant in Chittoor, Andhra Pradesh, and continuous software improvements for its connected platform. The company is also expected to announce a new EV model in H2 FY2025 to complement the VIDA V2.

What’s the Strategic Importance of Hero’s Sri Lanka Expansion?

In a significant global expansion move, Hero MotoCorp launched four models—the Xoom 110, Hunk 160R 4V, Xtreme 125R, and HF Deluxe—in Sri Lanka in April 2025. The launch was executed via Abans Auto, its long-time partner in the island nation. Backed by a network of over 500 customer touchpoints expected by May-end, Hero is intensifying its push to rebuild exports amidst geopolitical volatility and regional competition.

This expansion comes amid a rebound in Sri Lanka’s two-wheeler demand, helped by improving macroeconomic conditions, reduced import duties, and consumer credit normalization. Hero’s positioning in Sri Lanka also aims to offset some of the recent softness in exports to Latin America and Africa, where currency fluctuations have dampened volume flows.

What Does the Hero-Golf Partnership Signal About Branding?

Hero MotoCorp announced a new three-year global partnership with professional golfers Akshay Bhatia and Sahith Theegala. As international brand ambassadors, both athletes will represent the Hero brand on global golf circuits. This move deepens Hero’s alignment with global sports and brand values of excellence, endurance, and ambition.

The association follows Hero’s historic ties with golf events like the Hero World Challenge and Hero Indian Open, reinforcing its long-term branding strategy. By engaging with emerging global sports icons, Hero aims to position itself as a global lifestyle mobility brand rather than just a domestic two-wheeler company.

Stock Sentiment: What’s the Market View on Hero MotoCorp?

As of May 2, 2025, shares of Hero MotoCorp Limited (NSE: HEROMOTOCO) were trading at ₹3,827.40, reflecting a 0.66% decline from the previous close. The company’s market capitalization stands near ₹82,045 crore. Technical indicators show immediate support at ₹3,769.63 and resistance at ₹4,007.73.

FII activity in the March 2025 quarter showed a slight reduction in stake from 27.95% to 27.43%, while DIIs also trimmed holdings from 18.04% to 17.89%. Promoters maintained a 34.74% stake. Despite the mild institutional pullback, investor sentiment remains neutral-to-positive, given the company’s execution capabilities and resilience in retail demand.

Brokerages largely maintain a “Hold” stance on the stock. Some analysts expect Hero’s net profit for Q1 FY2026 to reach ₹1,130 crore, supported by improved pricing discipline, favourable product mix, and lower raw material inflation. However, risks around demand normalization and competitive pricing in the EV space persist.

How Does Hero MotoCorp’s April Performance Fit Into Broader Industry Trends?

Hero’s performance reflects a microcosm of the broader two-wheeler industry recovery underway in India. While overall wholesale dispatches across OEMs in April showed mixed trends, retail-level demand remained stable, particularly in the budget and mid-range segments.

The production pause for Hero aligns with a rising trend of OEMs recalibrating inventory amid uncertain regulatory changes, cost pressures, and export demand fluctuations. As India approaches its peak summer and pre-festive cycles, volume recovery is expected to gain traction.

Hero MotoCorp also continues to benefit from its diversified portfolio, combining low-cost commuter motorcycles with premium offerings and an expanding EV lineup—providing strategic insulation against demand volatility.

What’s the Outlook for Hero MotoCorp Going Forward?

Looking ahead, analysts anticipate improved dispatch numbers in May as plants resume normal operations. The company is also expected to increase VIDA’s distribution reach and potentially unveil new EV variants to capture urban market share. Rural demand is expected to hold steady, especially with improving agri-incomes and normal monsoon forecasts.

On the export front, new market activations in Asia and Africa are likely to gain momentum, with Sri Lanka positioned as a key test case for Hero’s overseas comeback. Furthermore, capital expenditures into digital infrastructure and EV R&D are set to shape the company’s evolution into a diversified mobility provider.