2025-03-17 04:42:29
Latest Post
Maharashtra Seamless Limited receives order worth Rs. 298 crores
P N Gadgil Jewellers Limited opens new store at Talegoan Dabhade, Pune
Zydus receives final approval from USFDA for Eluxadoline Tablets, 75 mg and 100 mg
Oberoi Realty Limited opens 'Sky City Mall' at Borivali East, Mumbai
Solarium Green Energy Ltd enters into MOUs for solar panels
Research
Tepid growth as buyers delay purchase decision ahead of GST - CSEC Research
Posted On : 2017-07-05 21:14:36( TIMEZONE : IST )
- The roll out of GST from 1 July 2017 impacted the automobile industry, mainly PV and Two-wheeler. Buyers postponed the purchase decision as Post GST the price of SUV and cars will considerably go down. In Commercial vehicle market, the medium and heavy commercial vehicle segment has started reflecting signs of recovery as the effect the pre-buying due to enforcement of the BS IV emission norms from 1 April started wearing off.
Muted PV sales amid GST
- Maruti Suzuki sold 106,394 units in June 2017 including 93,263 units in the domestic market, registering a total growth of 7.6%. It had sold a total of 98,840 units in June 2016.
- Hyundai Motor India's domestic sales declined 5.6% YoY to 37,562 units in June'17 as compared to 39,807 units in June'16.
- M&M has reported sales of 16,170 passenger vehicles (comprising UVs, Cars, and Vans), down 5.3% YoY in June 2017 as compared to 17,070 units in June 2016.
- Tata Motors has reported sales of 11,176 passenger vehicles (-10.5% YoY) in domestic market against 12,482 units in the same month last year.
Mixed growth for Two-wheeler manufacturers
- Hero Motor, the market leader reported sales of 624,185 units in June 2017, up 13.6% YoY as compared to 549,533 units in the same month last year. Registering the strong sales, the company sold 1,849,375 units in 1QFY18 - highest-ever sales by Hero Moto Corp in any quarter.
- HMSI sales increased by 4.1% YoY to 444,713 units in June'17 as compared to 427,222 units same month last year.
- Bajaj Auto saw a decline of 25.1% YoY in month of June 2017 as compared to June 2016 with 204,667 units sold in June 2017.
- TVS Motor total two-wheeler sales increased by 11.8% with sales increasing from 240,236 units in June 2016 to 268,638 units in June 2017. Domestic two wheeler sales grew by 10.8% increase from 207,012 units in June 2016 to 228,518 units in June 2017. Scooter sales grew by 33.8% from 67,590 units in June 2016 to 90,448 units in June 2017.
- Royal Enfield sold a total of 63,160 units (domestic: 58471 and exports: 4419 units) in June 2017, a growth of 24.6% YoY, as compared to 50,682 units sold in June 2016. Export declined by 8% YoY to 1,489 units in June 2017 from 1,622 units in June 2016.
CV sales reflecting signs of recovery
- Tata Motors' CV sales declined marginally 1.9% YoY to 25, 678 units in June 2017 as against 26,164 units in the same month last year.
- Ashok Leyland's total sales grew by 11.0% YoY to 12,330 units in June 2017 as against 11,108 units in the same month last year.
- Eicher Motor's (VECV) sales declined by 20.5% YoY to 3,921 units in June 2017 as against 4,935 units in the same month last year.
- M&M's total CV sales grew by 11.8% to 15,131 units in June 2017 as against 13,538 units in same month the previous year.
Outlook: Auto sales are expected to remain muted at least for a month until everyone in the value chain become familiar with the new system. However, we remain positive on the Indian Automotive industry.
