Mahindra posts 3% rise in car sales in May; good double-digit growth in CV sales
Mahindra's total domestic sales in May saw a large 11% growth which was mainly on the back of a good growth in light commercial vehicle sales.
- Mahindra's total sales in May grows by 3%
- Domestic sales registers 11% growth
- The biggest driver of growth for Mahindra came from its commercial vehicles segment
Mahindra & Mahindra on Thursday reported a 3% growth in its total sales in May 2017 which stood at 41,895 vehicles compared to 40,656 vehicles during May 2016.
The company’s domestic sales stood at 40,602 vehicles during May 2017, as against 36,613 vehicles during May 2016, a growth of 11%.
The passenger vehicles segment (which includes utility vehicles, cars and vans) registering a growth of 3% as it sold 20,290 vehicles in May 2017 as against 19,635 vehicles during May 2016. While UV sales grew by 4%, its cars and vans sales decline by 3% during May 2017.
However, the biggest driver of growth for Mahindra came from its commercial vehicles (CV) segment which registered a 24% growth as sales rose to 16,255 units from 13,109 units during May 2016.
This was primarily due to the 27% growth in the light commercial vehicle (LCV) segment lower than 3.5 tonne. It sold 15,111 units in May 2017 in comparison to 11852 units in May 2016.
In May 2017, the Medium and Heavy Commercial Vehicles (MHCV) segment sold 438 vehicles, a decline of 13% as against the same month last year.
It's three-wheeler sales grew by 5% in May 2017 as sales stood at 4,057 units during the month.
Mahindra's exports for May 2017 stood at 1,293 vehicles, a decline of 68%.
Rajan Wadhera, President, Automotive Sector, M&M said, “We are happy with our overall performance in May 2017. Given the favourable monsoon projections and the focused investment in the rural sector, we have a robust outlook for future which is expected to spur demand. The implementation of GST will be a significant game changer and we hope it benefits the auto industry. At Mahindra we look forward to a growth momentum on the back of our existing product portfolio as well as the upcoming new products.”