M&M sees first month of growth in June after a year of decline

In what could be the first indicators of green shoots of recovery in the Indian auto sector, Mahindra & Mahindra (M&M) announced that its total sales, across vehicle segments, in June 2014 herald its first month of growth – albeit a flat 1 percent – after a year of falling sales. The company sold a total of 38,471 units in June 2014 (June 2013: 38,092).

The passenger vehicles segment (which includes UVs, the Verito and Verito Vibe) sold 16,780 units, down 2.62 percent (June 2013: 17,232). Overall domestic sales were 36,457 units, up 0.69 percent (June 2013: 36,207).

While 4-wheeler commercial segment, which includes the Maxximo, Gio, Genio and Bolero Pickup, sold 14,138 units, marking a 2.74 percent growth (June 2013: 13,761), the 3-wheelers segment sold 4,544 units, up 6 percent (June 2013: 4,303). Interestingly, Mahindra Trucks and Buses clocked 9 percent growth with sales of 995 units (June 2013: 911).

Exports for the month stood at 2,014 units, up 6.84 percent (June 2013: 1,885).

Commenting on the monthly performance, Pravin Shah, chief dexecutive, Automotive Division & International Operations(AFS), M&M, said, "We have achieved marginal growth in our sales during June 2014 and do hope that the auto industry will continue to stay in a positive zone. The recent announcement by the government of an extension in the lowering of excise duty will provide a fillip leading upto the festive season. "