Auto Sales Figure Perks Up In The Month Of May

Auto sales for the month of May 2014, shows that companies have started to regain its momentum by increasing its sales, as most of the companies have posted positive figures for the month of May 2014 as compared to the same month of previous year.

Maruti Suzuki, the largest car manufacturer has reported 19.2% growth in total sales in May by selling 100925 units as against 84677 units in the same month of last year. The compact car segment (Swift, Ritz, Estilo and Celerio) and super compact car (Dzire), rose by almost 54% and 10% respectively, whereas the mini car and mid size (SX4), segment plunged by 7.5% and 76% respectively during May 2014, as against May 2013. The utility vehicle (Gypsy, Grand Vitara, Ertiga) and Vans segment (Omni, Eeco), reported a growth of 22% and 50% respectively in May of this year as compared to previous year. Due to such a commendable performance the company has seen a growth in domestic as well as in its exports, which grew by 16.4% and 51% respectively for May 2014.

Mahindra & Mahindra (M&M) reported a drop of 13% in auto sales by selling 37869 units during May 2014 as against 42104 units sold in May 2013. In the passenger vehicle segment (UVs and Verito), the company sold 18085 units in May 2014 as against 22244 units during May 2013. The three- wheeler and the four wheeler commercial segment witnessed a fall of 7% and 14% respectively for the month of May 2014, as compared to same month of previous year. While the domestic sales of the company was down by 16% by selling 35499 units during May 2014, whereas the export of the company registered a growth of 75% on yearly basis by selling 2370 units during May 2014.

While looking on the tractor sales of M&M, the total sales of the company grew by 1.32% by selling 23940 units during May 2014, as compared to May 2013. The export of the company has plunged by 30% on yearly basis during May 2014. The domestic sales have surged by almost 3% on yearly basis. The growth in domestic sales helped the company to book such growth in sales for the month of May 2014.

Hero MotoCorp, the largest two wheeler maker reported a growth of 8% in its total sales by selling 602481 units as against 557890 units in the same month of last year. This was the second time the company has touched six lakh sales figure. Earlier the company had sold 625420 units during the month of October 2013.

Bajaj Auto reported total sales of 351436 units, registering a growth of 3.6% on yearly basis during May 2014. The sales from the motorcycle segment and commercial vehicle segment have reported a growth of 2.7% and 11% respectively for the month of May 2014, as compared to the same month of previous year. The domestic sales of the company during the month of May of this year plunged by 14% on yearly basis by selling 195257 units, whereas the export has grown by almost 40% on yearly basis by selling 156179 units during May 2014.

The total sales of TVS motor during May of this year, registered a growth of 27% on yearly basis by selling 210293 units. In the two wheeler segment the total sales of the company has registered a growth of 26% on yearly basis, whereas on sub segment wise, the scooter and motorcycle has reported a growth of 60% and 28% respectively for May 2014 as against May 2013. The three wheeler segment has reported a growth of 56% on yearly basis by selling 9059 units during May 2014. The export of the company for May 2014 registered a growth of 42% with selling 34623 units during May 2014 as compared to May 2013.

From the above we can say that the auto companies have started to show some positive signs of improvement. This could be because of the improvement on the economic front. The GDP of the country has grown at 4.7%, during FY14 against 4.5% during FY13. Due to the elections people were adhering from investing and many wanted a stable government at the center, which the nation got after the election results. So, going by this we can expect the auto sales figure to improve in the coming months.