Automobile sales slump continues in Sept, but improves from August

Industry hopeful of festive season revival following government initiatives

Automobile-slowdown-Sreemanikandan Representative image | Sreemanikandan S.

Indian automobile sector continued with its lacklustre performance year-on-year in September too, as sales figures of major manufacturers, including Maruti Suzuki India (MSI), Bajaj Auto, Mahindra and Mahindra, and Ashok Leyland revealed on Tuesday. However, on the brighter side, the automobile sector has reasons to heave a sigh of relief as figures seem to have picked up from the two-decade low reported in August, signalling a pick up in consumption. 

Maruti Suzuki India

 

The country's largest carmaker Maruti Suzuki on Tuesday reported a 24.4 per cent decline in sales at 1,22,640 units in September. 

The company had sold 1,62,290 units in September last year, MSI said in a statement. However, the number of units sold has seen a jump from the August sales figures of 1,06,413 units, an increase of about 60,000 units. 

At the same time, domestic sales declined by 26.7 per cent at 1,12,500 units last month as against 1,53,550 units in September 2018, MSI stated. Sales of mini cars comprising Alto and WagonR stood at 20,085 units as compared to 34,971 units in the same month last year, down 42.6 per cent.

Sales of compact segment, including models such as Swift, Celerio, Ignis, Baleno and Dzire, fell 22.7 per cent at 57,179 units as against 74,011 cars in September last year. Mid-sized sedan Ciaz sold 1,715 units as compared to 6,246 units earlier. Similarly, sales of utility vehicles, including Vitara Brezza, S-Cross and Ertiga, declined marginally at 21,526 units as compared to 21,639 in the year-ago month, MSI said.

Exports in September were down by 17.8 per cent at 7,188 units as against 8,740 units in the corresponding month last year, the company said.

Bajaj Auto 

 

Bajaj Auto reported a 20 per cent fall in total sales at 4,02,035 units in September. However, in August this year, Bajaj had sold only 3,90,026 units, suggesting a recovery in September by over 10,000 units. The company had sold 5,02,009 units in September a year ago.

Domestic sales in September this year stood at 2,15,501 units as against 3,11,503 units, down 31 per cent, Bajaj Auto said in a regulatory filing. Total motorcycle sales stood at 3,36,730 units, showing a decline of 22 per cent as compared to 4,30,939 units sold in August last year.

Total commercial vehicle sales were at 65,305 units as against 71,070 units in the same month last year, down 8 per cent, the company said.

Exports in September declined 2 per cent to 1,86,534 units as against 1,90,506 units exported in the corresponding month last year, it added.

Mahindra and Mahindra 

 

Homegrown auto major Mahindra and Mahindra (M&M) on Tuesday reported a 21 per cent decline in total sales at 43,343 units in September. The company had sold 55,022 units in the corresponding month last year, M&M said in a regulatory filing.

At the same time, the September sales figures were slightly up compared to the August sales that stood at 36,085 units. 

In the domestic market, sales were down 21 per cent at 40,692 units last month as compared to 51,268 units in September 2018. Exports also registered a decline of 29 per cent at 2,651 units as against 3,754 units in the year-ago month.

In the passenger vehicle segment, which includes utility vehicles, cars and vans, the company sold 14,333 units last month as compared to 21,411 units in the same month last year, down 33 per cent.

In the commercial vehicle segment, the company sold 18,872 units as against 22,917 units in the same month a year ago, down 18 per cent.

Mahindra & Mahindra reported a 2 per cent decline in total tractor sales at 37,011 units in September. The company had sold 37,581 units in the same month last year, M&M said in a regulatory filing.

Sales of tractors in the domestic market was marginally up at 36,046 units as compared to 35,953 units in the year-ago month, it added. 

However, exports declined 41 per cent at 965 units as compared to 1,628 units in September 2018, the company said.

Ashok Leyland 

 

Hinduja Group's flagship firm Ashok Leyland reported 55 per cent decline year-on-year in its total commercial vehicle sales at 8,780 units in September. The company had sold a total of 19,374 units in the same month last year, Ashok Leyland said in a regulatory filing.

At the same time, the September sales figure has picked up slightly over that of August this year at 8,296 units

Total commercial vehicle sales of Ashok Leyland in the domestic market stood at 7,851 units as against 18,078 units in September last year, down 56.57 per cent, it said.

The sales of medium and heavy commercial vehicles in the domestic market declined 69 per cent to 4,035 units as compared to 13,056 units in the same month last year. Light commercial vehicle sales in domestic market stood at 3,816 units as against 5,022 units in September last year, down 24 per cent, it added.

Toyota Kirloskar Motor

 

Toyota Kirloskar Motor (TKM) has reported a 16.56 per cent year-on-year decline in total sales at 10,911 units in September. The company had sold 13,078 units in the same month last year, TKM said in a statement.

Sales in the domestic market stood at 10,203 units last month as compared to 12,512 units in September 2018, a decline of 18 per cent, it added. However, the figures have seen a slight uptick from the 10,701 units clocked in August this year. 

Exports in September were at 708 units as against 566 units in the year-ago month, a growth of 25 per cent.

Festive cheer 

 

The industry expressed hope that the sales will pick up, thanks to positive sentiment during the festive season coupled with good monsoon and recently announced positive government initiatives. Reflecting on the sales performance, M&M Chief of Sales and Marketing, Automotive Division, Veejay Ram Nakra said,"We are positive that this festive season, with the onset of Navratra, will augur well for us and the automotive industry."

Commenting on the sales performance, TKM Deputy Managing Director N. Raja said, "The consumer sentiment continued to be subdued in September which has reflected in the sales slowdown in the industry." However, he said the company expects consumer demand will see the much needed revival resulting in better retails due to Navratri and Diwali.

(With PTI inputs)