Maruti Suzuki's sales dive 36% to 93,173 units in August, UVs bounce back

August is the sixth straight month of a sales decline for the PV market leader. But the return of UV numbers to positive territory is a good sign for the company and the industry.

By Ajit Dalvi calendar 01 Sep 2019 Views icon12477 Views Share - Share to Facebook Share to Twitter Share to LinkedIn Share to Whatsapp
Recent entry of the Maruti XL6 seems to have lifted UV sales into positive territory. At 18,522 UVs despatched in August, numbers are up 3.1 percent YoY.

Recent entry of the Maruti XL6 seems to have lifted UV sales into positive territory. At 18,522 UVs despatched in August, numbers are up 3.1 percent YoY.

If July 2019 (96,478 units / -36%) was a poor sales month for the country's largest carmaker, then August 2019 has been no different. Total sales of 93,173 passenger vehicles in the domestic market last month indicate that Maruti Suzuki India's numbers are down 36.1 percent year on year. This is the second month in a row that the numbers are below the 100,000-units mark.

August 2019 also marks the sixth straight month of a sales decline for the PV market leader. 
January: 139,440 (0.18%)
February: 136,912 (0.19%)
March: 145,031 (-1.45%)
April: 131,385 (-19.61%)
May: 121,018 (-25.06%)
June: 111,014 (-17.18%)
July: 98,274 (-35.52%)
August 2019: 93,173 (-36.1%)

UV numbers back into positive territory, XL6 looks to be a sales driver
However, in what marks a hint of a revival in sales and as compared to July, when all PV sub-segments' sales were double-digit negative, Utility Vehicle (UV) sales for Maruti are back in positive territory.

This augurs well for the company because the UV segment, which for long has buffered slowing car sales for the company, will now renew its position. The expanded UV portfolio with the addition of the recently launched XL6 MPV (Gypsy, Ertiga, XL6, Vitara Brezza and S-Cross) has sold a total of 18,522 units, up 3.1 percent (August 2018: 17,971). Clearly, it looks like the XL6 is giving Maruti Suzuki hope in a depressed market and has the potential to achieve bigger sales.

The entry level and bread-and-butter Alto and (old) Wagon R entry hatchback segment with sales of 10,123 units (August 2018: 35,895) is down by a massive 71.8 percent. And the six-car hatchback combine of the new Wagon R, Celerio, Ignis, Swift, Baleno and the Dzire have together sold a total of 54,274 units (August 2018: 71,364), down 23.9 percent.

Maruti Suzuki also sold a total of 2,333 units of the rebadged Baleno, sold as the Toyota Glanza to Toyota Kirloskar Motor, in August 2019. This is the highest monthly number of the Glanza since deliveries began in April 2019. Total Glanza deliveries over the five-month period are 8,558 units. 

The Ciaz premium sedan is also down by a fair percentage. At 1,596 units, sales are down 77.2 percent (August 2018: 7,002). And, finally, the Eeco and Omni vans, at 8,658 units, are down 36.6 percent (August 2018: 13,663).

The festive season for the country begins from today: Onam in Kerala and Ganesh festival in Maharashtra from tomorrow. It's a time when people prefer to bring home a new vehicle. Will Maruti Suzuki –  and the industry – see much-improved numbers in September? Watch this space.

 

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