Sept Auto Sales Report: M&M Clocks 16% Growth, Toyota, Bajaj Auto, Escorts Kubota in Spotlight
M&M reported sold 87,839 units of vehicles, clocking a rise of 16% as compared to 75,604 vehicles for the same month a year ago. Toyota, Bajaj Auto & Escorts Kubota reported a growth of 14%, 28% and 2.5% for September 2024.
Mahindra Auto Sales Zooms 16%; Toyota, Bajaj Auto, Escorts Kubota Reports Upbeat Growth
Setting an optimistic tone for investors, Mahindra & Mahindra (M&M) reported an uptick in auto sales for the month of September. The automobile manufacturer sold 87,839 units of vehicles, clocking a rise of 16% as compared to 75,604 vehicles for the same month a year ago.
While the utility vehicles segment stood at 52,590 units which included exports, the auto major’s Passenger Vehicles (PV) sales grew by 24% to 51,062 units domestically as compared to September last year.
Reiterating optimism surrounding the long-awaited Mahindra Thar ROXX, Veejay Nakra, President, Automotive Division, M&M Ltd said, “As we enter into the festivities of Navratri, we open bookings for the much-awaited Thar RoXX on 3rd October.”
Notably, Commercial Vehicles (CV) sales increased by 6% to 33,750 units on a year-on-year (YoY) basis.
Meanwhile, M&M’s Farm Equipment Sector (FES) clocked a growth of 2% on YoY basis at 44,256 units. The sales of domestic tractors surged by 3% to 43,201 units as compared to 42,034 units a year earlier in the same month. However, exports for the month dropped by 10% to 1,055 units on a YoY basis.
“Monsoon rainfall has seen an increase of 7.5% over LPA and this has helped increase in Kharif sowing of all crops except cotton. Reservoir levels have recovered very well and are now at 13% higher than LPA, which augurs very well for a bumper Rabi crop. On the back of good kharif crop and likely strong Rabi crop, rural sentiments are positive. With positive terms of trade for farmers and upcoming festivals, we expect robust demand for tractors going forward,” said Hemant Sikka, President – Farm Equipment Sector, Mahindra & Mahindra Ltd
Following the release of data, share price M&M traded 0.96% higher at ₹3,125.95 on BSE at 9:55 am.
What about other automotive companies?
Toyota
On a YoY basis, Toyota Kirlosar Motor reported a growth of 14% in its sales by selling 26,847 units. The company shipped 23,802 units to local dealerships while further exporting 3,045 units. "Our SUV (sports utility vehicle), MPV (multi-purpose vehicle), and small car segments have experienced significant growth nationwide, contributing over 90% to our sales in September," said Sabari Manohar, vice president - sales, service and used cars, Toyota India. Notably, Toyota India recorded its best half-yearly performance where the overall sales grew by 31% to touch 1,62,623 units.
Bajaj Auto
On account of increased electric mobility, the Pune-based automaker sold 2,59,333 units in September 2024–an uptick of 28% on YoY basis. Exports grew by 13% to 1,41,156 units. Meanwhile, two-wheeler sales surged by 22% annually to touch 4,00,489 units.
Escorts Kubota
The manufacturer sold 12,380 units of tractors in September 2024 as compared to 12,081 units a year earlier. While domestic sales were up by 5.7% on YoY basis at 11,334 units, exports were down by 47.1% to 395 units. In an exchange filing the company said, "With timely, widespread and above average monsoon leading to replenished water reservoirs and favourable terms of trade, we anticipate good sales growth during second half of current fiscal." Notably, in the first half of Fiscal 2025, sales slumped by 3.6% YoY to 54,177 units as against 55,587 units a year ago.
