Automobile Newsletter - January 2 to 6, 2017

India Infoline News Service | Mumbai | January 06, 2017 16:58 IST

This week, we saw that Maruti Suzuki's December sales dropped by 1%, while Ashok Leyland's total sales was at 10,731 units, down by 12%. The exports for Tata Motors were up by 12% in December. IIFL presents a weekly snapshot of all the major happenings in the Automobile industry.

Tata Xenon Yodha
Top Stories
Maruti Suzuki December sales drop 1%
Maruti Suzuki India announced its total sales fell by 1% to 1.17 lakh units in December 2016 over December 2015. Domestic sales fell 4.4% to 1.06 lakh units in December 2016 over December 2015. Exports rose 47.1% to 11,494 units in December 2016 over December 2015. Read More
Ashok Leyland total sales at 10,731 units, down 12%
Ashok Leyland, the Hinduja Group flagship company in India, has reported 12% decrease in its total sales to 10,731 units in December 2016 as compared to 12,154 units sold in the same period of last year. The company has experienced 9% decline in its sales of medium and heavy commercial vehicle (M&HCV) to 8,782 units in December 2016 as compared to 9,703 units in December 2015. Its Light commercial vehicle (LCV) segment dropped by 20% growth in sales to 1,949 units in December 2016 as compared to 2,451 units in December 2015. Read More
M&M reports 1.5% de-growth in domestic market
Mahindra & Mahindra Ltd, India's leading SUV manufacturer, announced its auto sales performance for December 2016 which stood at 36,363 vehicles as compared to 37,915 vehicles during December 2015. The Passenger Vehicles segment (which includes UVs, cars and vans) sold 16,698 vehicles in December 2016 as against 18,197 vehicles during December 2015. The company's domestic sales stood at 34,310 vehicles during December 2016 as against 34,839 vehicles during December 2015. Read More
Tata Motors exports up 12% in December at 5,119 units
Tata Motors passenger and commercial vehicle total sales (including exports) in December 2016 were at 40,944 vehicles, 2% growth over 39,973 vehicles sold in December 2015. The company's domestic sales of Tata commercial and passenger vehicles for December 2016 was at 35,825 units, a growth of 1%, over December 2015. Cumulative sales (including exports) of the company for the fiscal was at 391,493 units., higher by 7% over 364,939 vehicles, sold last year.

Domestic-Passenger Vehicles
In December 2016, Tata Motors passenger vehicles, in the domestic market, recorded sales at 10,827 units, with a growth of 35%, over December 2015. The passenger car sales continued its growth momentum at 40%, due to strong demand for the Tata Tiago, with sales showing an increasing trend. Read More
Domestic Newsmakers
Royal Enfield December sales jump 42%
Royal Enfield reported a 42% jump in total sales at 57,398 units in December 2016. The two-wheeler manufacturer had sold 40,453 units in December 2015, the company said in a BSE filing. Its December total sales fell by 20.2% to 3,946 from 4,946 last year.  Total sales in the domestic market during the April-December period of the ongoing fiscal was at 4,88,262 units as against 3,59,968 units in the year-ago period, up 36%. Read More
Force Motors resumes production; stocks slightly up
Force Motors Ltd has informed the BSE that it has resumed its production activity. The company had informed the exchanges in a letter dated December 16,2016 about 'No production days' in some of the plants of the company. The company stated that it has resumed production activity as usual from January 2, 2016. Read More
VE Commercial Vehicles sells 4,048 units in December
VE Commercial Vehicles Ltd. (A Volvo Group and Eicher Motors joint venture) has sold 4,048 units in December 2016 as compared to 5,063 units in December 2015 recording a decline of 20.0%. However, on YTD basis, we continue to have a handsome growth of 13.1% with YTD sales of 41,263 units as against last year YTD of 36,472 units. This month 4,048 units include 3,946 units of Eicher brand and 102 units of Volvo brand. Read More
Escorts Agri Machinery volumes grew by 15.8% in December
Escorts Ltd's Agri Machinery Segment (EAM) in December 2016 sold 3,187 tractors witnessing growth of 15.8% against 2,751 tractors in December 2015. Domestic tractor sales for the month of December 2016 was up by 11.6% at 3,043 tractors against 2,727 tractors in December 2015. Export for the month of December 2016 increased by 500% at 144 tractors against 24 tractors in December 2015. Read More
M&M's tractor sales go up
Mahindra & Mahindra Ltd.’s Farm Equipment Sector (FES), a part of the $ 17.8 billion Mahindra Group, announced that its domestic tractor sales for December 2016 were at 12,619 units, as against 11,686 units during December 2015. The total tractor sales (domestic + exports) during December 2016 were at 14,047 units, as against 12,868 units for the same period last year. Exports for the month stood at 1,428 units. Read More
SSWL registers 2% turnover growth in December led by favourable product mix of truck wheels
SSWL achieved total wheel rim sales of 10.18 lakh over 10.42 lakh in December 2015 representing a YoY contraction of 2%. The impact of demonetisation was well absorbed by the company due to increase in market share with every customer. We expect the 4th quarter to be better as the knee jerk reaction passes away and normalcy will return for the segments with easing cash crunch. The company has achieved gross turnover of Rs 109.89 crore in December 2016 over 107.60 crore in December 2015. SSWL achieved net turnover of Rs 98.97 crore in December 2016 over Rs 97 crore in December 2015, recording a growth of 2%. The turnover of the company will grow by a minimum 20% going ahead into the last quarter flowing into the next financial year. Read More
Atul Auto December Sales declines at 2,556 units
Atul Auto reported 36.18% decrease in sales for the month of December 2016 at 2,556 units as compared to 4,005 units. Read More
Auto stocks ignore the demonetisation pain; Close higher on sales optimism
It was widely expected that the sales figures for the month of November will be down owing to the demonetisation effect. The sales figures compared to similiar month in the previous year for several of the automobile companies have been impressive for companies like Eicher Motors and SML Isuzu. The sales showed negative growth for Mahindra & Mahindra and Bajaj Auto. For Tata Motors the sales figures have increased marginally by 2%. Read More
Hero Motocorp December sales fall 34%
Capping off a year of significant milestones, Hero MotoCorp Ltd. (HMCL),  the world's largest two-wheeler manufacturer, reported its highest-ever sales in a calendar year. Hero MotoCorp sold a record 67,62,980 units of two-wheelers in the period January-December 2016, translating into a growth of 4.3% over the previous calendar year (2015) when the company had sold 64,86,103 two-wheeler units. The cumulative sales of HMCL so far in the Financial Year 2017 (April-December 2016), has now risen to 50,24,129 units. Read More
TVS Motor Company posts sales of 184,901 units in December
TVS Motor Company clocked sales of 184,901 units during the month of December 2016, as against 202,021 units registered in the month of December 2015.

Total two-wheelers recorded sales of 179,508 units in December 2016 as against 194,001 units in December 2015. Domestic two-wheelers registered sales of 153,413 units in December 2016 as against 168,160 units in December 2015. 
Scooters registered sales of 55,536 units in the month of December 2016 as against 65,025 units in December 2015. Motorcycles recorded sales of 58,189 units in December 2016 as against 71,435 units registered in the month of December 2015. Read More
Hero MotoCorp dips after poor sales in December
The company sold a record 67,62,980 units of two-wheelers in the period January-December 2016, translating into a growth of 4.3% over the previous calendar year (2015) when the company had sold 64,86,103 two-wheeler units. HMCL sold 3.3 lakh units in December 2016, as against 4.99 lakh units in the corresponding month last year. The cumulative sales of HMCL so far in the Financial Year 2017 (April-December 2016), has now risen to 50,24,129 units. Read More
Tata Motors introduces new Tata Xenon Yodha range of pick-ups
Tata Motors today launched its first product of the year, the new Tata Xenon Yodha, in the presence of its newly appointed brand ambassador, Akshay Kumar. Setting new benchmarks in the pick-up segment, the new Tata Xenon Yodha is suitable for a wide range of commercial applications – a rugged, comfortable, safe and stylish work horse, characterised by everyday practicality, high levels of performance and lowest operating cost. Read More
Hero MotoCorp achieves highest ever sales in any calendar year despite demonetization
One of the world’s largest two-wheeler manufacturers, Hero MotoCorp has posted its year-end sales data on Tuesday, and has reported highest ever sales in any calendar year so far. Company has sold 67,62,980 units of two-wheelers during CY2016, reporting a growth of 4.3% over CY2015 (64,86,103 units).  Cumulative sales for the first nine months of FY2017 have increased to 50,24,129 units. However, on a monthly basis the company could sell only 3,30,202 units in December 2016 as against 4,99,665 units in the corresponding month of  the previous year. Read More
Steel Strip Wheels takes a giant stride on bourses
SSWL has announced that for Q4 FY16-17, they have set a target for achieving volume sales of 35.6 lakh, as compared to 33.24 lakh in Q3 FY16-17, representing a growth of 7% QoQ. SSWL has seen an increase in volume growth in passenger cars and very good growth in tractors and truck segment. The CV segment is witnessing very good demand for Q4 and will surely negate the demonetisation impact. The portfolio growth of heavier wheels is coming out in double digits, and will definitely leave its impact on the performance of the company in Q4. Read More
Auto makers with rural focus impacted more due to demonetization
If the December sales data for the Auto sector is to be looked at, which reflects the demonetisation effects on the sales, clearly there is a trend emerging that is suggestive of the fact that the rural sales have been impacted more than the urban sales. While it was widely anticipated that the Auto sales for December will be lower, as traditionally the month of December is a slow month for Auto makers, in addition to that it got negatively impacted by demonetisationTwo–wheeler sales, which are largely cash driven purchases as compared to the passenger and commercial vehicles, have fallen steeper. To cite an example, Hero MotoCorp Ltd.'s December sales have fallen by 34%, which is the most significant one within the Two-wheeler space, attributing to its higher dependency on rural areas. Read More
Force Motors December total domestic sales at 2,121 units
Force Motors registered a total domestic sales at 2,121 units in the December month. The company sold 955 units of its Small Commercial Vehicles (SCV) and Light Commercial Vehicles (LCV) at 733 units, the company said in BSE filing. Read More
Droom ties up with Axis bank to provide quick loans on new and used cars
India’s pioneering online automobile transactional marketplace, has firmly entrenched its foothold as a complete eco-system for buyers to have an impeccable automobile owning experience. In its latest effort to sustain such a status, Droom has tied up with Axis Bank, India’s third largest private sector bank, toprovide quick sanction  of loans on both new as well as used cars. Read More
M&M disappoints with sales numbers
Mumbai based, automobile manufacturing corporation, Mahindra and Mahindra has published its operational performance report for the month of December 2016. Production across all segments during December 2016 has decreased by 20.86% as compared to December 2015. Sales and Exports across all segments during December 2016 have also decreased by 1.52% and 33.25% respectively, as compared to December 2015. Read More
Irdeto and Tata Elxsi join hands to provide secure In-Car Display Systems for Automobiles
Irdeto, the world leader in digital platform security, had announced today a partnership with Tata Elxsi, a major global player in the automotive industry, to provide automakers with secure In-car Display Systems for automobiles. Irdeto has combined its Cloakware for Automotive by Irdeto Security Solution with Tata Elxsi’s award winning design and engineering expertise to offer secure, best-in-class user interface solutions and connected cockpit solutions to automotive clients around the world. Read More
Bajaj Auto workers to go on a 2-day strike
Bajaj Auto may trade volatile on Jan 5. The workers of the company are going in for a two-day strike starting from Jan 7. However, the details on the matter are still not clear, but the stock of the company is likely to witness volatile movements early in trade. In the last one year, the stock has given a return of 8.08%. The P/E of the company stands at 20.44. In the last three years, the stock has give a return of 12.26%; whereas during the same period, the Sensex has given a return of 8.48%. Nevertheless the auto index has managed to outperform the stock. Read More
Tata Motors creates a 'dhoom' on D-Street, post the release of JLR sales
Jaguar Land Rover has posted 24% hike in its US sales, recording 105,104 units in 2016. Land Rover’s sales have increased by 5% to 73861 units; and Jaguar sales have risen by 116% to 31243 units in 2016. The company has recovered from the net loss it had posted during September quarter of 2015 to a net profit of Rs 848.16 crore in the September quarter of 2016. Read More
Bank of New York Mellon disposes entire 5.39% stake in M&M, stocks down
Mahindra and Mahindra (M&M) informed the exchange that Bank of New York Mellon disposes entire 5.39% stake in company on Jan 4, 2017. The company informed that the change in overseas depository bank holding shares represented by GDRs of M&M from The Bank of New York Mellon to JP Morgan Chase Bank, N.A. as successor overseas depositary bank through a transfer of shares that is free of payment. Read More



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