LML Ltd has launched the entry-level bike, CRD 100, styled by Ugolini of Italy and designed by Bastro of Germany. The CRD 100 will be available in two versions – base model priced at Rs 31,430 (ex-showroom UP) and the higher model at Rs 32,430 (ex-showroom UP).
Launching the bike, Deepak Singhania, MD, LML Ltd, said, “LML has accurately read the movement of the two-wheeler market. The attempt was to fill the gap in the entry-level segment with a product that is priced economically and has features of the deluxe category.”
Chief Operational Officer, A K Chadha, said, “The company plans to increase its production capacity in bikes from 3.25 lakh to 7 lakh by the third quarter of 2005 and 1 million by Q3 of 2006-07. In the bike segment, the company plans to hike its market share from 4 per cent to 12 per cent. In scooters, LML currently holds a 26 per cent market share.”
Chadha further said that the company had made investment of up to Rs 8-9 crore for the CRD 100 and planned to sell 160,000 units by March 2006. A promotional plan involving print and television medium has been lined up for the new bike. Capital Advertising will be handling the account.
The CR Tech engine of CRD 100 generates 8.2 BHP@7750 RPM and a torque of 0.84 kg@5250 RPM, hence providing the benefit of a good pick-up. The bike also comes with a unique frame and suspension system with telescopic front fork and hydraulic adjustable rear shockers, thereby ensuring the best drivability and cutting. CRD 100 comes with 0.8 MM piston rings, which help reduce friction and maximise fuel efficiency.
Singhania said that the company had reduced the losses in Q1 and Q2, and that with the increase in production, he expected the EBITA to be positive by September. He was confident that the company would attain net profit after three-and-a-half years.