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Business Jul 01, 2025

Hero Motors upsizes IPO to ₹1,200 crore

Hero Motors is gearing up for a ₹1,200 crore IPO, raising its target from the earlier ₹900 crore.
The offer includes a fresh issue of ₹800 crore and a ₹400 crore sale by current shareholders.
The funds will help pay down debt and expand its Uttar Pradesh manufacturing facility.

TL;DR

Who is Hero Motors?

Hero Motors makes engine and transmission parts for two-wheelers, supplying big names like BMW, Ducati, and Harley-Davidson.
Led by Pankaj Munjal from the Hero MotoCorp family, the company saw revenue rise to ₹1,064.4 crore in FY24—most sales come from India (59%), but it also ships to Europe (29%) and the US (8%).

Gross profit improved, but net profit dropped in FY24

While gross profit improved in FY24 thanks to better margins (up to 39.4%), net profit actually dropped 67% year-on-year due to rising costs—a reminder that even growing companies face tough financial decisions along the way.