Tata Motors Ltd. saw a 58 percent rise in domestic vehicle sales in November benefitting from a low base in the same month last year.
Commercial vehicle sales went up 72 percent to 35,307 units, from 20,538 units a year ago when the industry was hit by demonetisation, according to a media statement. Growth was led by medium and heavy commercial trucks where sales rose 88 percent to 12,851 units. Light commercial truck sales too grew 76 percent to 3,984 units.
Increased demand for the new tonnage vehicles, infrastructure development led by government funding and keen focus on customer requirements has helped reviving the M&HCV performance.Tata Motors Media Statement
Passenger vehicle sales rose 35 percent over last year to 17,157 units. Growth was driven by demand for Tata’s new compact SUV Nexon, the statement said. The company said that it ramped up production at its Ranjangaon facility for that particular model.
Pickup sales too rose 53 percent over last year to 4,685 units.
Exports, however, fell 12 percent to 4,927 units as the automaker saw a drop in CV sales volume in key international markets like Nepal and Sri Lanka, the statement added.
TVS Motor Company Ltd.’s sales grew 12 percent to 2.52 lakh units in November from last year, led by strong export growth.
Exports of the automaker surged 43.8 percent to 32,892 units. Sales of two-wheeler vehicles advanced 11.1 percent to 2.43 lakh units aided by 37.3 percent jump in motorcycle sales to 93,202 units from the year-ago period.
- Domestic two-wheeler vehicle sales increased 6.1 percent over last year to 2.03 lakh units
- Scooter sales grew 7.2 percent to 78,397 units year-on-year.
- Two-wheeler exports climbed 45.7 percent to 40,185 units.
- Three-wheeler sales increased 46.7 percent to 8,642 units.
Eicher Motors Ltd.’s sales rose 22 percent in November led by higher exports.
Exports of the automaker, best known for its Royal Enfield brand of motorcycles, rose 60 percent to 2,350 units last month compared to the same period last year, it said in a stock exchange filing. Overall sales for November stood at 70,126 units.
Sales of motorcycles with engine capacity up to 350cc increased 26 percent year-on-year while sales of models with higher engine capacity fell 12 percent to 4,375 units in the same period.
Shares of Eicher Motors fell 0.71 percent to Rs 29,730 apiece, after the announcement.
Mahindra & Mahindra Ltd.'s sales grew 21 percent to 36,039 vehicles in November on the back of higher sales of cars and heavy commercial vehicles.
Passenger vehicle sales rose 21 percent to 16,030 units driven by a 37 percent rise in sale of cars and vans, the automaker said in an exchange filing. Utility vehicle sales rose 20 percent.
Commercial vehicles grew 22 percent with medium-to-heavy commercial vehicle sales more than doubling to 792 units. Sale of light commercial vehicles, that have a capacity of less than 3.5 tones, rose 20 percent to 14,262 while sale of bigger LCVs rose 11 percent to 500.
"We expect our growth momentum to continue on the back of some recent refresh launches as well as the positivity of our product portfolio,” said Rajan Wadhera, president of M&M’s automotive sector.
Sale of three-wheeler vehicles rose 13 percent to 4,455 units.
Farm equipment maker Escorts Ltd.’s sales rose 6.5 percent year-on-year in November, driven by exports.
The tractor maker sold 4,941 units in the domestic market, an increase of 5.2 percent, while exports jumped 64.8 percent to 178 units, according to its stock exchange notification.
Total units sold during the month jumped to 5,119 units from 4,806 units a year ago.
Ashok Leyland Ltd.’s sales rose for the sixth straight month in November.
Sales of the truck maker increased 51 percent to 14,460 units compared to Nov. 2016, it said in an exchange filing.
Medium and heavy commercial vehicle sales rose 54 percent to 10,641 units, while volumes of light commercial vehicles rose 44 percent to 3,819 during the period.
Shares of the Chennai-based firm snapped its three-day losing streak and rose 3.55 percent to Rs 121.5 apiece after the company announced its sales numbers. The stock risen 52.4 percent so far this year, against a 25 percent gain in the S&P BSE Auto Index.
Maruti Suzuki India Ltd. posted eleventh consecutive month of sales growth, driven by demand for its compact cars including Ignis, Baleno and Celerio.
The country’s largest carmaker sold 1.54 lakh vehicles, an increase of 14.1 percent from the corresponding month in 2016, the company said in an exchange filing.
Total domestic sales rose 15 percent to 1.45 lakh units, while exports increased 0.8 percent to 9,300 units.
Segment-Wise Sales Performance
- Mini segment (Alto and WagonR) fell 1.8 percent to 38,204 units.
- Compact segment (Swift, Baleno and Ignis) rose 32.4 percent to 65,447 units.
- Utility vehicles segment (Ertiga S-Cross and Vitara Brezza) rose 34 percent to 23,072 units.
- Mid-size sedan Ciaz fell 26.2 percent to 4,009 units.
Shares of Maruti Suzuki rose as much as 1.8 percent to Rs 8,695 apiece, after the announcement.
Bajaj Auto Ltd. clocked its highest-ever commercial vehicle sales and a 27 percent growth in exports in November.
Total sales stood at 3.26 lakh vehicles, an increase of 21 percent year-on-year, the two-and-three-wheeler maker said in an exchange filing. Sales in November 2016 were hit by Narendra Modi government’s decision to demonetise Rs 500 and Rs 1,000 notes.
Total domestic sales rose 16 percent to 1.79 lakh units, while the exports climbed 27 percent to 1.46 lakh from last year.
Commercial Vehicle Business Shines
- Domestic sales rose 157 percent to 37,887 vehicles.
- Exports increased 41 percent to 24,601 units.
Domestic Motorcycle Sales Struggle
- Total sales grew 11 percent to 2.64 lakh bikes.
- Exports surged 25 percent to 1.22 lakh units.
- Domestic sales grew just 2 percent to 1.41 lakh units.
Bajaj Auto shares rose as much as 1.2 percent to Rs 3,344 in early trading.
Indian automakers are expected to report double-digit sales growth in November, according to a BloombergQuint poll of three brokerages.
Maruti Suzuki India Ltd.'s sales are seen rising 15 percent, while rivals Mahindra & Mahindra Ltd., Tata Motors Ltd. and Ashok Leyland Ltd. are all seen clocking sales growth of over 30 percent each.
Two-wheeler makers too are expected to clock robust year-on-year sales growth, with Bajaj Auto Ltd. likely to clock 31 percent growth in sales. Market leader Hero MotoCorp Ltd. is likely to lag rivals, with sales rising 18 percent.
India's auto companies are set to announce their sales for the month of November. Traditionally November is a weak month for auto sales since it follows after the festival season in October. However, this year is likely to see a turn around.
The low base due to demonetisation and a stabilisation in sales over the past few months is likely to help auto companies post strong year-on-year volume growth in November 2017, according to a survey of 35 auto dealers across the country by BloombergQuint.