Atlas Honda plans to launch new 125cc bike

Its price will be in the range of Rs140,000 to Rs145,000

KARACHI: Owing to the rising demand for motorcycles having engine capacity in the range of 100cc to 150cc, Atlas Honda is set to launch a new model of its 125cc motorcycle on January 4.

Atlas Honda, one of the leading bike manufacturers in Pakistan, will be adding the latest variant to its already-existing vast range of models at an event planned to be held in Lahore. Dealers from all across Pakistan have been invited to attend the launch of the new model.

Following positive response in China, Atlas Honda expressed its intention to introduce the model in Pakistan, revealed a dealer but requested anonymity as the company did not want to disclose details of the new two-wheeler. The bike variant will be introduced in the price range of Rs140,000 to Rs145,000.

At present, the motorcycles of the similar engine capacity produced by other companies are priced above Rs150,000, hence Atlas Honda is targeting to gain an edge in the market.

Yamaha was the first to launch the sporty bike in Pakistan. Later, Atlas Honda decided to enter into competition. It should be noted that Atlas Honda has already a long-existing 125cc bike in the market which is popular among youth.

In May last year, the motorcycle manufacturer announced plans to enhance its production capacity up to 1.5 million units.

The company recorded an after-tax profit of Rs4.66 billion in fiscal year 2017-18, compared to Rs3.75 billion in FY17, an increase of 24.28%.

“Increase in sales of motorcycles has a direct relationship with population and GDP growth,” said Taurus Securities’ analyst Hamdan Altaf earlier last year. “The company mainly caters to the class that is price-elastic.”

Atlas Honda is the market leader in the motorcycles segment in Pakistan. It sold 1.15 million bikes in the last fiscal year. Its nearest rival is United Motors, which sold 0.4 million bikes in the same period. The company also exports bikes to Sri Lanka, Afghanistan and Bangladesh.

Published in The Express Tribune, January 2^nd, 2019.

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