MOSL: AUTOMOBILES-Growth seen across segments, barring premium (ex RE)-HMSI gains market share led by strong growth across segments

​AUTOMOBILES: Growth seen across segments, barring premium (ex RE); HMSI gains market share led by strong growth across segments; overtakes BJAUT to occupy second spot in motorcycles

• 1HFY18 saw continuation of the scooterization trend, with scooters (~34% share v/s 32% in FY17) eating into the share of executive segment (32% share v/s 31% in FY17).
  
• Economy segment grew 17% YoY in 1HFY18. HMCL's volumes in this segment grew 32% YoY; the company now commands a market share of 57.7% in economy (v/s 55.1% in FY17).
  
• Executive segment grew ~4% in 1HFY18, driven by 125cc segment (+9.8% YoY). Scooterization continued to impact executive 100cc segment (grew just ~2%; -4% CAGR over FY13-17).
  
• Premium segment grew 5% in 1HFY18, but declined by 1% excluding Royal Enfield. BJAUT's premium segment volumes fell 20% YoY in 1HFY18, led by higher competition from HMSI (+420bp to 14.9% market share) and TVS (+250bp to 13.4%).
  
• Overall, HMSI, with a 29.8% market share, was the biggest gainer in 2Ws (overtook BJAUT to occupy #2 spot in motorcycles; market share up ~290bp in 1HFY18). BJAUT, with a 9.6% market share in 1HFY18, was the biggest loser (market share down ~180bp over FY17). However, BJAUT appeared to be reversing its fortunes in Sep-17, with its market share at 12.1%, led by new launches.