New Delhi, July 13: Country’s largest motorcycle maker Hero Honda Motors said it was confident of achieving "double- digit" growth in sales this fiscal on the back of a good monsoon and expectations of strong demand in the ensuing festival season. The company expects sales to come down to 4.5-4.55 lakh units in the July-September quarter from 4.58 lakh units in the first quarter due to stagnant demand in the 'traditionally -poor' months of July and August but pick up in the third quarter, Hero Honda Director (Finance) Ravi Sud said.
"The months of April-May were subdued because of fear of drought. Now, with expectations of good monsoon, the industry should do well. We think our guidance of double-digit growth should materialise," he said.

Hero Honda had sold 1.67 million motorcycles during 2002-03, a 17.7 per cent growth over the previous year.
"July and August are weak months because of monsoon. The dealers do active stocking during the month of September for the coming festival season. The sales should pick up in the third (October-December 2003) quarter," he added.
Despite cutting prices by Rs 1,001 of all models from April 1, 2003 and pricing the new 'CD-Dawn' motorcycle aggressively, Hero Honda has been able to control the slide in operating margins by recording a marginal 0.5 per cent drop during the first quarter, Sud said.
"We were able to do this by reducing costs and increasing operating efficiencies," he said. Bureau Report Bureau Report