Industry

TVS Motor earmarks ₹1,000 crore for EVs

TVS Motor (TVSM) has lined up several new products during the current fiscal in the mid to premium segment, said CMD Venu Srinivasan.

“This is the the gap that needs to be filled, and will also lead to the volume growth,” Mr. Srinivasan told shareholders. Electric vehicle (EV) adoption in India is being accelerated with significant policy interventions and rising fuel costs, he said. TVSM was aggressively ramping up to establish a dominant presence in EV segment by earmarking ₹1,000 crore to manufacture two and three wheelers ranging from 5 kW to 25 kW under a separate vertical, he said. Joint MD Sudarshan Venu said that EVs were going to be “very important for the future and TVSM is really investing behind.” The proposed EVs would cater to different segments of market such as commuters, premium, delivery, and shared mobility. About 500 engineers are working on multiple design concepts, he said. Pointing out that consumer acceptance of EVs would depend on factors such as fuel prices, government support, charging infrastructure and technological advancement, Mr. Sudarshan said that TVS was investing to be future-ready.

“This year, we have planned two new launches and one for the international market,” said K.N. Radhakrishnan, director & CEO. “This is in addition to EV. Due to spurt in vehicle demand, we expect to do well in the rural and international markets and be ahead of the market curve and industry growth,” he said.

The company has returned to black by posting a standalone net profit of ₹53 crore for Q1 of FY22 against a net loss ₹139 crore in the year-earlier period.

During the quarter, revenue from operations more than doubled to ₹3,934 crore. The results included an exceptional item of ₹30 crore incurred towards COVID-related expenses. The company has also made investments of ₹124 crore in two subsidiaries.


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Printable version | Sep 17, 2021 3:29:19 PM | https://www.thehindu.com/business/Industry/tvs-motor-earmarks-1000-crore-for-evs/article35615581.ece

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