Scooters India Ltd (SIL), the ailing three-wheeler maker, believes it is doing quite well, under the circumstances.
The central government-owned unit has been periodically referred to the Board for Industrial and Financial Reconstruction since the early 1990s.
The latest such revival proposal was this May, when the government decided to divest 95 per cent of its stake if a suitable buyer came forward. After stiff opposition from employees, another old story, another plan for revival is under consideration.
Addressing Scooters India’s 39th annual general meeting here recently, chairman and managing director Ajai Kumar said despite a negative growth rate of 0.27 per cent in the three-wheeler industry, SIL had achieved a 21 per cent growth rate in the year till August 2011. SIL was the market leader in the passenger carrier (6+1) segment, with a share of 52 per cent in 2010-11, selling 2,784 units. Turnover grew 25 per cent to Rs 175 crore against growth of 3.1 per cent during the previous year.
The chairman and managing director said 2010-11 had witnessed significant recovery in the global automobile industry.
“The domestic automobile sector registered growth of 26 per cent. The three-wheeler segment grew 19.4 per cent, with overall sales of 526,022 vehicles,” he said.
