On March 23rd, Royal Enfield suspended all operations in factories, technology centres, company offices and domestic market dealerships.
Through April, Royal Enfield's manufacturing facilities across Tiruvottiyur, Oragadam and Vallam Vadagal in Chennai and the entire supply chain (including all company dealerships across India) remained closed in compliance with government directives. Due to a complete halt in operations, Royal Enfield reported sales of only 91 units in the month of April.
On May 6, RE gradually restarted operations across India.
The company lost 20% of sales in July and August due to intermittent lockdowns announced by various city and district administrations. The company also announced the pandemic had delayed 'new platform' product portfolio developments by 3-6 months.
Vinod Dasari, Royal Enfield CEO: “If not for the lockdowns in supplier cities, we could have sold 20% more in both July and August. In Chennai, we are allowed to work at only 50% capacity and Sundays are off.”
Between April and July, Royal Enfield sold 92864 units, posting a decline on previous year of 58%. At time of writing, the company is operating at 50% capacity in Chennai, with any available personnel working overtime to meet pent-up demand.
Thank-you to all staff at Royal Enfield, and UK Royal Enfield importer (Moto GB), for keeping our showrooms fully stocked during the pandemic.