M&M posts 1 pc rise in auto sales in Dec

New Delhi: Mahindra & Mahindra Ltd on Wednesday reported a 1 per cent rise in automobile sales in December 2019, as a rise in passenger and utility vehicles offset a dip in commercial vehicle sales.

In a regulatory filing, M&M, a part of the USD 20.7 billion Mahindra Group, said domestic auto sales came at 37,081 units in December as compared to 36,690 vehicles sold a year back.

Passenger vehicles clocked 4 per cent rise in sales to 15,691 while utility vehicles posted 10 per cent rise to 15,225.

Commercial vehicle sales, however, slipped 5 per cent to 16,018 reflecting a slowdown in the economy and rural consumption.

Exports were also down 30 per cent at 2,149 and they pulled down the overall M&M December sales by 1 per cent to 39,230 units.

During April-December, domestic sales were down 11 per cent at 3.6 lakh units reflecting a slowdown in the auto sector witnessed during the first half of the current fiscal. Together with declining exports, total sales were down 12 per cent to 3.8 lakh vehicles in April-December.

In the Passenger Vehicles segment (which includes UVs, cars and vans), Mahindra sold 15,691 vehicles in December 2019, compared to 15,091 vehicles in December 2018.

In the commercial vehicles segment, the company sold 16,018 vehicles in December 2019, as against 16,906 vehicles in December 2018.

In the medium and heavy commercial vehicles segment, Mahindra sold 478 vehicles for the month.

"Our performance in the month of December is as per year-end sales outlook and currently we are also comfortable with our overall stock levels. As we get into the new year, we are fully equipped to roll out our BSVI products and have taken all requisite measures for a smooth transition over the next three months," M&M Ltd Chief of Sales and Marketing, Automotive Division Veejay Ram Nakra said.

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Free Press Journal