Mahindra & Mahindra's February sales decline 3%
In the month of February 2017, Mahindra & Mahindra's (M&M) sold 42,714 vehicles, sequentially lower by 3% from 44,002 vehicles in the similar month of previous year.
Pravin Shah, President & Chief Executive (Automotive), M&M Ltd. said, “The auto industry is seeing some positive trends emerging over the last two months. With rural sentiments improving, we believe that there will be a turnaround in demand over the next few months for the small commercial vehicles space."
Total domestic sales were at 40,414 units, declining by 2% as compared to 41,348 units recorded a year ago same month. While total exports were at 2,300 units, lower by 13% against 2,654 units in February 2016.
Passenger vehicles sales declined by 13% with sales of 20,605 units from 23,718 units in February 2017. Utility vehicles sales decreased by 14% with 19,529 units sold compared to 22,612 units in February 2016.
On the other hand, three-wheeler segment tumbled by 9% to with total sales of 3,426 units this month.
Commercial vehicles and Medium Heavy Commercial Vehicles (MHCV) performed better in the month of February 2017. Sales from commercial vehicles grew by 18% year-on-year (YoY) with 16,383 units and that of MHCV by 49% year-on-year (YoY) with 716 units.
Shah added, "The industry is also waiting for the implementation of the BS 4 norms from April 2017 and at Mahindra, we have geared the supply chain so that there is no strain in moving to meet the new emissions norms. We also hope that the impending implementation of GST will provide a veritable boost to the auto industry and the economy in general.”
Shares of M&M soared over Rs 38 or 2.91% on BSE, trading at Rs 1345 per piece at 3.13 pm.