TVS Motor would focus on BS-VI, Chairman Venu Srinivasan has said, reasoning that turning attention towards electric vehicle now won't make economic sense.
Addressing the shareholders on Tuesday, Srinivasan said the biggest challenge for 2018-19 will be Euro VI and the focus will be on addressing it.
"Electric doesn't make any economic or commercial sense now so the focus will be only on Euro-VI," Srinivasan said.
The company had earlier said it was planning to launch an electric vehicle in March. In February 2018, the company showcased an electric vehicle.
The two-wheeler industry is expected to grow by 10 per cent in 2018-19, but the major competitive threat would be BS-VI implementation, Srinivasan said, adding that TVS will be ready with BS-VI vehicles six months ahead of the mandatory date.
Addressing company's shareholders, the chairman said that in 2017-18, the major challenges were demonetisation, GST, and emission norms (BS-III to BS-IV) while infrastructure improvement and road projects have boosted customer demand.
"We need to keep launching vehicles to keep the excitement around the brand," said Srinivasan, adding that the company is targeting 16 per cent market share.
Going forward, the company will focus on EBITDA, which was earlier sacrificed for market share.