Hyundai sells 49,151 units in May, SUV share at 67%, uptick in rural demand

Hyundai Motor India has reported dispatches of 49,151 units in May 2024, up just 1% YoY (May 20023: 48,601 units) but down 2% on April 2024’s 50,201 units. Combined April-May 2024 wholesales are up 2% YoY at 99,352 units.

As in April, a similar 67% share of total passenger vehicle sales belongs to Hyundai SUVs. This would translate into 32,840 units in May 2024. The new Creta, which is India’s best-selling midsize SUV, and the Venue and Exter compact SUVs continue to be the growth drivers even as demand grows for the Aura and new Verna sedans.

May 2024 sales are the first time in the ongoing calendar year that numbers have dipped below the 50,000 mark. Hyundai’s performance in CY2024 has been January 2024 (57,115 units, up 14%), February 2024 (50,201 units, up 7%), March 2024 (53,001 units, up 5%) and April (50,201 units, up 1%).

Cumulative sales for the first five months of CY2024 at 259,669 units are up 5.55% on year-ago wholesales (January-May 2023: 246,009 units).

Hyundai Motor India retails 11 models in India SUV — two hatchbacks (Grand i10 Nios, i20), two sedans (Aura, Verna) and seven SUVs (Creta, Venue, Alcazar, Exter, and Tucson along with the all-electric Ioniq 5 and Kona). Like market leader Maruti Suzuki, Hyundai Motor India too continues to feel the heat of slackened sales of hatchbacks for its Grand i10 Nios as well as the premium i20. However, sedan sales for the company are strong with demand growing for the entry level Aura and the Verna, which has received a boost with the rollout of the sixth-generation model.

In a trend that’s common to the top PV manufacturers with SUV-heavy portfolios, SUVs remain the key growth drivers for Hyundai. India’s best-selling midsize SUV and fourth best-selling UV (after the Nexon, Brezza and Punch) continues to be the Creta and the new Creta, launched in January 2024, has helped accelerate demand. Hyundai now has two compact SUVs – Venue and Exter – hunting in a pack in the booming segment that sold over a million units in FY2024 and accounted for 25% of India PV Inc’s record 4.21 million-unit sales last fiscal. The Exter, launched barely 11 months ago, has given the Korean carmaker a new charge in a competitive market.

Commenting on May 2024 sales, Tarun Garg, COO, Hyundai Motor India said, “We have maintained a healthy total sales volume in May 2024, despite a week-long routine bi-annual maintenance shutdown at our Sriperumbudur factory. SUVs continue to be a growth driver for HMIL, accounting for more than 67% of domestic sales last month. Our rural penetration stood at a healthy 20.1% in May.”