New Delhi: Auto industry posted their sales numbers for the month of March, some show contradictions but looking at overall economic scenario, bottom of the trough may not be too far.
Maruti reports 1.6% sales dip
The country’s largest car maker Maruti Suzuki India on Monday reported 1.6 per cent decline in sales at 1,58,076 units in March.
The company had sold 1,60,598 units in March last year, Maruti Suzuki India (MSI) said in a statement. The decline demonstrates two sides of a coin – one being it has been able to arrest the declining sales and the other side being in contrast to its peers, the sales have declined year on year.
After posting below par numbers last month, outlook for the auto industry looked bleak. Exports in March were down by 12.9 per cent at 10,463 units as against 12,016 units in the corresponding month last year, the company said.
The company’s sales in the domestic market stood at 17,53,700 units during the last fiscal, up 6. 1 per cent as compared with 16,53,500 units in 2017-18.
Honda Cars India Ltd (HCIL) reported a staggering 27 per cent increase in its domestic sales to 17,202 units in March. The company had sold 13,574 units in the domestic market in March 2018, HCIL said.
Honda Cars posted sales of 1,83,787 units in 2018-19, up 8 per cent as compared with 1,70,026 units in 17-18. “Strong sales efforts from the dealers and company during the prevailing tough market scenario resulted in this growth rate, which is ahead of the industry,” HCIL Senior VP and Director-Sales and Marketing Rajesh Goel said.
M&M sales up 1 pc
Mahindra & Mahindra (M&M) reported one per cent increase in total sales at 62,952 units in March. The company had clocked total sales of 62,076 units in the same month last year, M&M said in a statement. Export in March stood at 3,940 units as compared to 3,424 units in the same month last year, a growth of 15 per cent, M&M said.
Domestic sales rose marginally to 59,012 units as compared to 58,652 units in March last year, it added. Commercial vehicle sales declined four per cent to 24,423 units last month from 25,495 units in March last year. M&M reported a 31 per cent decline in total tractor sales in March at 19,688 units.
The company had sold 28,477 units in March last year, M&M said in a statement. Domestic tractor sales in March 2019 were at 18,446 units as against 27,155 units in the year-ago month, down 32 per cent, it added. Exports for the month shows decline of 6 per cent, the company said.
Escorts tractor sales up 1 pc
Farm equipment major Escorts Ltd reported a steady 1 per cent increase in its tractor sales at 11,905 units in March. The company had sold 11,790 units in the same month last year, Escorts Ltd said in a regulatory filing. Domestic sales last month were down by 1.1 per cent at 11,431 units as against 11,557 units in the year-ago period, it said.
Exports in March stood at 474 units as compared to 233 units in the same month last year, it added. Domestic sales in FY19, showed a growth of 19%, the company said. Exports during the fiscal year ended March 31, jumped 56.7 per cent to 3,089 units as compared to 1,971 units in the previous year.
Suzuki Motorcycle sales up 28 pc
Suzuki Motorcycle India (SMIPL) on Monday reported 28 per cent increase in sales at 67,025 units in March. The company had sold 52,167 units in the corresponding month last year, SMIPL said in a statement.
In the domestic market, the company posted 25 per cent jump in sales with 58,701 units as compared to 46,848 units in March last year. For the financial year ended March 31, the company said it sold 7,47,506 units, its highest ever sales in India, posting a growth of more than 30 per cent over 5,74,711 units in the previous fiscal.
On the NSE, the Auto index gained nearly 1% with commercial vehicle space seeing some beating. Passenger vehicle focussed companies’ stocks showed some buying. Has the Auto industry downturn troughed or there is still some pain left with BS VI norms to come into action? Only time will tell.