Hero MotoCorp Q2FY22 preview: Revenues expected to fall 15% YoY

Hero MotoCorp is expected to post a weak set of numbers in the second quarter. There has been no demand recovery in the rural markets and that has led to a double-digit volume decline for Hero MotoCorp. Overall volumes would be down 20 percent year-on-year (YoY) in Q2, which will lead to a revenue fall of about 15 percent.

However, the saving grace has been that the company took price hikes, so the average selling price has gone up above 6 percent YoY, which could help the company in some way maintain the margins. However, on YoY basis, margins are expected to fall to 11.5 percent versus 13.7 percent.