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Eicher Motors, whose stock grew Rs 1 lakh to Rs 20 lakh in 10 years, outlines plan for next decade

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“Over the 10 years we have set out a vision very clearly. We need to be a global motorcycling brand and we must be at least a USD 5 billion revenue over the next five-ten years and maintain our margins of north of 20 percent,” Vinod Dasari, CEO of Royal Enfield said in an interview with CNBC-TV18.

Eicher Motors is among the top 25 wealth creators over last 25 years according to Motilal Oswal Wealth Creation Study. A market cap of Rs 100 crore in 1995 to Rs 66,000 crore in 2020. Vinod Dasari, CEO of Royal Enfield discussed the future roadmap of the company.
“Over the 10 years we have set out a vision very clearly. We need to be a global motorcycling brand and we must be at least a USD 5 billion revenue over the next five-ten years and maintain our margins of north of 20 percent,” he said in an interview with CNBC-TV18.
“If the demand continues to hold and new products continue to perform well, we should do significantly better than we did this year in the coming year,” he said.
The company has a three-pronged strategy in international market, the developed markets, the emerging markets and the fast growing markets. “Huge list of products, very personalised digital approach to the customers and significant international growth – this is the three-pronged strategy that is helping us. We have done incredibly well. We are well short of our demand both in India as well as outside. It is a good problem to have. We still have huge backlog,” he said.
“When somebody enters the segment of 250-750 which is where we compete in, it increases the visibility of the segment. Everybody starts to look at this segment and then people realise that there is one company which is very focused in the segment and has a huge variety of products. That is what is holding us up and we will continue to do as good in future,” he said.
“Customers are changing, environment is changing, legislation is changing and the way we reach customers is changing. We will grow significantly outside India,” he said.
The company is investing in debottlenecking, he said.
For entire discussion, watch video
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