Latest news with #PawanMunjal
Mint
5 days ago
- Automotive
- Mint
Promoter salaries in India show sharp divide—some earn crores, others take zero
Mumbai: Some of India's most prominent promoters are among the highest-paid executives in the country. Others take no salary at all. A Mint analysis of Nifty 50 companies reveals a stark divide in how promoters who actively run their firms pay themselves. While some draw hefty compensation packages, others forgo salaries entirely. Yet in both camps, most earn far more through dividends than through direct pay. At the top of the pay scale are three automotive industry veterans: Pawan Munjal of Hero MotoCorp, Rajiv Bajaj of Bajaj Auto, and Sidhartha Lal of Eicher Motors. Kalanithi Maran of Sun TV and KM Mammen of MRF Ltd also rank among the highest-paid promoters in India's listed space. On the opposite end are promoters such as Mukesh Ambani of Reliance Industries Ltd, Nandan Nilekani of Infosys Ltd, Deepinder Goyal of Eternal (formerly Zomato), Rahul Bhatia of InterGlobe Aviation, and Mohit Burman of Dabur. All have officially waived their salaries. TVS Motor managing director Venu Srinivasan draws a nominal remuneration of ₹1 crore. Promoter pay carry broader implications for corporate governance. In India, resolutions on promoter compensation are not classified as related-party transactions, allowing promoters to vote on their own pay. In companies with concentrated promoter ownership, this can lead to approval of high compensation packages with minimal resistance, raising potential conflicts of interest and concerns over transparency. Salaries, dividends, and governance Yet compensation in the form of salary tells only part of the story. Most of these individuals, whether or not they draw a salary, earn significantly more through dividends. Ambani, for instance, received ₹3,655 crore in dividend income from Reliance in FY24, while Infosys' Nilekani earned ₹429 crore. The exception is Eternal's Goyal, whose company has yet to declare any dividends. 'There are several traditional companies where promoter salaries are disproportionately high and much higher than peers. That has been a long-standing concern," said Shriram Subramanian, the managing director of proxy advisory firm InGovern and an expert on corporate governance. Subramanian said promoters should ideally draw compensation in line with the highest-paid executive in their company, or close to that level, with dividends forming the bulk of their income. He made an exception for new-age companies, where founders may hold relatively small stakes and lack sufficient dividend income. There, the founders may take market-driven salaries to support their lifestyles, he said. The salary of executive directors who are promoters or part of the promoter group at listed companies is governed by the Companies Act, 2013 and Sebi's listing regulations. If annual remuneration exceeds ₹5 crore or 2.5% of a company's net profits, whichever is higher, it requires shareholder approval via special resolution. Even with these checks in place, promoter executives continue to earn significantly more than professional managers. A 2024 Deloitte survey found that promoter CEOs earned a median ₹11.9 crore in FY24, compared to ₹8.9 crore for professional CEOs. The average for promoter CEOs was ₹16.7 crore, versus ₹13 crore for professionals. Shareholder pushback In some cases, shareholders have challenged excessive promoter compensation. In FY24, institutional shareholders opposed the reappointment of Bina Modi as managing director of Godfrey Phillips India, and Gautam Singhania as chairman and managing director of Raymond, after proxy firms flagged their compensation as excessive. Both resolutions passed due to the promoters' substantial shareholding. In FY21, shareholders rejected Eicher Motors' proposal to reappoint Sidhartha Lal as managing director with a 10% salary hike to ₹23.2 crore. At the time, the company's profits and revenues were falling, the median employee salary had increased just 1%, and Lal's pay was 340 times that figure. His compensation had risen at a compounded annual growth rate of 28% over three years. Eicher later revised Lal's pay, cutting the cap from 3% of company profits to 1.5%. That proposal was subsequently approved by shareholders. Independent governance expert Sharmila Gopinath said the concern isn't about promoters taking salaries, it's about scale and fairness. 'There's nothing wrong with a promoter taking a salary, but the concern arises when the quantum is significantly higher than what others in the sector are paid," Gopinath said. '(A)t some point, it starts to feel like exploitation, especially when the salary seems out of sync with the rest of the executive team." The disparities are stark. At Hero MotoCorp, the second-highest paid executive drew ₹14.1 crore, compared to promoter Pawan Munjal's remuneration of ₹109.4 crore. At Sun TV, the highest-paid non-family executive earned ₹1.8 crore, versus Maran's compensation. At Bajaj Auto, the non-family figure was ₹28.3 crore, at MRF ₹11.9 crore, and at Eicher Motors ₹19.5 crore. 'Promoter salaries should be performance-linked, benchmarked against peers, and evaluated in the context of long-term shareholder returns and not just short-term gains," Subramanian said. Some promoters have kept their salaries in line with professional management. These include Rishad Premji of Wipro, who drew ₹13.8 crore, and Abhishek Lodha of Lodha Developers, who was paid ₹4.9 crore, figures comparable to the highest-paid non-family executives at their respective firms.
Hindustan Times
23-07-2025
- Automotive
- Hindustan Times
Hero Karizma XMR base variant discontinued, prices now start from ₹1.92 Lakh
₹1.92 Lakh data-item-target-url=/auto/two-wheelers/ data-item-story-segment=Mass Vehicles> The new Hero Karizma XMR is the most powerful motorcycle in its class, producing the highest torque. Check Offers The Hero Karizma XMR lineup has been quietly revised with the base variant now being delisted from the official website. With this move, the Karizma XMR is now only available in two trims – the Top and the newly introduced Combat edition – both of which come equipped with previously exclusive features. Hero Karizma: Base variant axed The discontinuation of the base variant has led to a considerable increase in the Karizma XMR's starting price. Earlier, the model was launched in a single variant at ₹ 1.73 lakh However, the cheapest Karizma XMR is now priced at ₹ 1.92 lakh (ex-showroom), which is a base price increase of RS 19,000. While this price adjustment is appropriate considering all the new kit that has been added, it could be a blow to buyers looking for a cheaper entry point in the segment. Also Read : Hero MotoCorp to enter Germany, France, Spain and UK in Q2 FY26, says Chairman Pawan Munjal Feature upgrades standardised Following criticism at launch – particularly regarding the lack of a USD fork, which is standard on rivals like the Yamaha R15, Hero recently updated the Karizma XMR's hardware. The motorcycle now gets a TFT display and a USD front fork, both of which were absent in the original version. These upgrades are now common on the other two variants, some of which were among the most pressing issues raised by enthusiasts and shoppers. The updates not only enhance the bike's tech cred but also its riding dynamics and front-end stability. Hero Karizma: Combat Edition Of the two variants presently available, the Combat edition is distinctive with a grey and yellow paint finish. At ₹ 2.02 lakh (ex-showroom), the Combat variant has the same feature list as the Top variant, hence the difference being mostly cosmetic. The colour scheme is something akin to the Xoom 110 Combat edition, in line with Hero's overall design language across models. Also watch: Hero Karizma XMR 210 launched: First look Hero Karizma: Specs Even with the equipment and variant re-jig, the mechanical bit is the same. The Karizma XMR still gets the same 210cc single-cylinder liquid-cooled engine, producing 25hp and 20.4Nm of torque. It comes with a 6-speed transmission and still aims at riders seeking a sportier, faired bike in the sub-250cc segment. Check out Upcoming Bikes In India. First Published Date: 23 Jul 2025, 08:52 am IST
Time of India
22-07-2025
- Automotive
- Time of India
Hero Motorcorp launches HF Deluxe Pro at Rs 73,550; Check key features
Hero MotoCorp has launched the feature-rich HF Deluxe Pro across India, priced at Rs 73,550. This model boasts segment-first LED headlamp, digital console, and refreshed design. Powered by i3S technology and a low-friction engine, it promises best-in-class mileage, combining style, efficiency, and advanced features for the modern rider. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads New HF Deluxe Pro Bold New Design Refreshed body graphics add dynamism and flair Chrome accents enhance its premium appeal Contemporary, sharp, and edgy design for standout presence Segment-First LED Headlamp Crown-shaped high-intensity position lamp Enhances visibility and road presence Horizon Digital Console Advanced digital speedometer for real-time riding data Integrated Low Fuel Indicator (LFI) for practical fuel planning Adds a modern touch to the ride Enhanced Safety and Comfort Practical features ensure a worry-free and comfortable ride Designed with safety at its core India's leading two wheeler manufacturer, Hero MotoCorp , introduced the feature-packed HF Deluxe Pro , with the model being available Hero MotoCorp dealerships across the country at a price of Rs 73, HF Deluxe Pro reflects Hero MotoCorp's commitment to providing dependable and efficient mobility solutions. With segment-leading features, striking design, and superior fuel efficiency, the new HF Deluxe Pro adds excitement to the entry-level motorcycle by advanced technologies like i3S (Idle Stop-Start System), low-friction engine, and specially engineered tyres, it delivers an impressive best-in-class mileage. The HF Deluxe Pro is built for effortless daily rides and unmatched HF Deluxe Pro is available at Hero MotoCorp dealerships across the country at a price of ₹73,550/- (Ex-showroom Delhi).Commenting on the launch, Ashutosh Varma, Chief Business Officer – India Business Unit, Hero MotoCorp, said, 'With the new HF Deluxe Pro, we have taken the trust forward, by introducing a bolder design, advanced features, and enhanced fuel efficiency – all tailored to the needs of the new-age Indian rider."Hero MotoCorp will launch operations in Germany, France, Spain, and the UK in Q2 FY26, marking a bold step in its global expansion strategy, PTI reports. Chairman Pawan Munjal confirmed the move in the company's FY25 annual report, highlighting the company's commitment to 'mobility without boundaries.'In FY25, Hero saw a 43 per centYoY growth in international markets, driven by solid traction in South Asia and Latin America. Munjal said the company is now ready to scale in Europe, backed by engineering excellence and innovation.
Hindustan Times
15-07-2025
- Automotive
- Hindustan Times
Hero MotoCorp to enter Germany, France, Spain and UK in Q2 FY26, says Chairman Pawan Munjal
Hero MotoCorp is aiming to enter key European markets in Q2 FY26. Check Offers Hero MotoCorp is planning to enter the European market in this quarter. The homegrown two-wheeler giant that already has a strong presence in the international market is planning to launch its products in the European markets like Germany, France, Spain and the UK in the second quarter (July-September) of the current financial year. This comes as a key part of the brand's global expansion strategy. Hero MotoCorp's Chairman, Pawan Munjal, said that a bold global expansion roadmap will see the company extend its presence into Germany, France, Spain, and the United Kingdom in the second quarter of FY 2025-26, as it carries its vision of mobility without boundaries to new markets. "In FY 2024-25, we achieved 43 per cent YoY growth in international markets from South Asia to Latin America through a sharp focus on customer experience, quality and scale," he said while commenting on the overall international market expansion. Munjal further said that Hero MotoCorp's entry into Europe and the UK later this year marks the next phase in the company's global ambition, backed by engineering excellence and innovation. In his address to the company's shareholders in the OEM's annual report for FY2024-2025, Munjal further said that the brand is investing in the future, both in India and beyond and through the company's own platforms, including the 'Hero for Startups' initiative it is mentoring next-generation entrepreneurs, offering them R&D access and opening pathways to market. Hero MotoCorp's EV arm Vida records 200 per cent sales growth Hero MotoCorp's electric vehicle arm, Vida, which recently launched the Vida VX2 electric scooter, claims to have registered a 200 per cent surge in sales, supported by the strategic expansion of its retail presence across key urban markets in India. 'The Vida V2 has redefined accessibility in electric mobility for the modern commuter," said Munjal, while also adding that the company's partnership with Ather Energy, now a publicly listed company, strengthened India's largest EV charging network and premium electric segment leadership. Check out Upcoming Bikes In India. First Published Date: 15 Jul 2025, 09:37 am IST
&w=3840&q=100)
Business Standard
14-07-2025
- Automotive
- Business Standard
Hero MotoCorp to enter UK, Germany, France, Spain in Q2 FY26: Munjal
Hero MotoCorp Chairman Pawan Munjal said that the firm achieved 43 per cent year-on-year growth in international markets in FY2025 from South Asia to Latin America The company's electric mobility brand VIDA recorded a 200 per cent increase in sales during the year (FY25), aided by a wider retail footprint across urban centres, said chairman Pawan Munjal. Rahul Goreja New Delhi Hero MotoCorp will expand into key European markets — including Germany, France, Spain, and the United Kingdom — in the second quarter of the ongoing financial year (2025–26), as part of its broader global strategy, said chairman Pawan Munjal in the company's annual report for FY2024–25. 'A bold global expansion roadmap will see Hero MotoCorp extend its presence into Germany, France, Spain, and the United Kingdom in the second quarter of FY2025–26, as we carry our vision of mobility without boundaries to new markets,' Munjal said. "Our entry into Europe and the UK later this year marks the next phase in our global ambition — backed by engineering excellence and innovation," he added. He also said that the firm achieved 43 per cent year-on-year growth in international markets in FY 2024-25 from South Asia to Latin America through a sharp focus on customer experience, quality and scale. Electric future The company's electric mobility brand VIDA recorded a 200 per cent increase in sales during the year (FY25), aided by a wider retail footprint across urban centres, said Munjal. On strategic partnerships, Munjal highlighted the company's investment in Ather Energy, and its collaboration with Zero Motorcycles in the US. 'Our partnership with Ather Energy, now a publicly listed company, strengthens India's largest EV charging network and premium electric segment leadership,' said Munjal. 'Our partnership with California-based Zero Motorcycles is culminating in an exciting new premium motorcycle,' he added. He also said that the company's investment of ₹510 crore in Euler Motors is intended to strengthen the company's position in the electric three-wheeler segment. 'Each step reaffirms our belief – the future of mobility in India will be electric, inclusive and innovation-led. Hero MotoCorp is proud to lead this transformation,' added Munjal. Hero MotoCorp Q4 results Hero MotoCorp reported a 6 per cent year-on-year (Y-o-Y) increase in standalone net profit to ₹1,081 crore for the fourth quarter of FY25, up from ₹1,016 crore in the same quarter last year. However, the profit declined 10 per cent sequentially from ₹1,203 crore in Q3 FY25. Revenue from operations grew 4 per cent Y-o-Y to ₹9,939 crore, compared to ₹9,520 crore in Q4 FY24. On a quarter-on-quarter (Q-o-Q) basis, revenue dipped 3 per cent from ₹10,211 crore posted in the preceding quarter.
