Tata Motors Reports A Domestic Sales Decline Of 21 Percent In SCV Cargo And Pickup In June 2024 Y-o-Y
Modified On Jul 04, 2024 04:28 PM
Tata Motors has revealed its monthly sales numbers for June 2024, where the brand saw a 7 percent decline YoY in sales of its total commercial vehicles by selling 31980 units. Read on.
Key Highlights
- Tata Motors saw a sales decline of 8 percent and 21 percent in the HCV and SCV categories respectively in June 2024 YoY (year on year).
- With a sales growth of 6 percent and 18 percent in the ILMCV and passenger carrier categories, the company witnessed an increment in the sales figure for June 2024.
- Considering both export and domestic sales, the brand observed an overall sales dip of 7 percent in June 2024 by selling 31,980 units compared to 34,314 units in June 2023.
One of the leading commercial vehicle manufacturers in India, Tata Motors revealed its monthly sales figures for June month of the financial year 2025. The Tata Motors commercial vehicle sales report in June 2024 covers both export and domestic sales performance of heavy commercial vehicles (HCVs), intermediate light and medium commercial vehicles (ILMCVs), passenger carriers, small commercial vehicles cargo and pickup.
Only ILMCVs and passenger carriers in the domestic market witnessed a positive sales growth of 6 percent and 18 percent respectively. However, the commercial vehicles from Tata Motors observed a 16 percent export sales growth by selling 1357 units in June 2024 compared to 1166 units in June 2023.
Related Link: Eicher Motors Observes 9 Percent Sales Growth For Its Commercial Vehicles In June 2024 YoY
Insights Of Tata Motors CV Sales Report June 2024
According to the recently released Tata Motors commercial vehicle sales report, the company sold 4997 units of ILMCVs in June 2024 compared to 4723 units in the same month last year, showing a 6 percent increase in its domestic sales. In passenger carriers, the company experienced an 18 percent domestic sales growth, totalling 5654 units sold in June 2024 compared to 4810 units in June 2023.
In the case of the heavy-commercial truck category, Tata Motors reported an 8 percent dip in its domestic sales in June 2024 after selling 8891 units compared to 9625 units in June month of the previous year.
Considering sales of SCV cargo and pickup in the Indian market, the brand sold 11,081 units in June 2024 compared to 13,990 units in June 2023, reflecting a 21 percent significant decline in its sales. Overall, Tata Motors registered a 7 percent sales decline by selling 31,980 units in June 2024 in comparison to 34,314 units in June 2023.
Official Statement By Tata Motors
Girish Wagh, Executive Director, Tata Motors said, “Tata Motors Commercial Vehicles domestic sales at 87,615 units in Q1 FY25 were around 7 percent higher than Q1 FY24 sales. Additionally, sales in June 2024 were around 3 percent higher compared to May 2024. The M&HCV segment led the growth with about a 10 percent rise in Q1 FY25 sales volumes versus Q1 FY24.”
Speaking on commercial vehicle sales performance, he added, “While HCV demand held up well, market sentiment remained positive in the MCV segment with demand increasing in e-commerce, auto-aggregates and LPG segments. The CV passenger business continues with its robust post-pandemic recovery with school and staff transportation segments growing 39 percent during the quarter.”
He further commented, “Sales of small and light commercial vehicles declined by about 6 percent in Q1 FY25 compared to Q1 FY24, primarily due to financing challenges faced by ‘first-time users’ in this category. Going forward, the forecast of a healthy monsoon, expectations of policy continuity and continuing thrust on infra-related developmental projects by the government are expected to improve the demand for commercial vehicles.
The demand in staff, intercity, and stage carriage segments should also remain healthy despite the seasonal dip often seen in school transportation in Q2. We continue to remain focused on partnering with our customers to succeed while vigilantly tracking relevant macro factors including geopolitical developments, interest rates, fuel prices and inflation.”
What We Think
With the surging demand for medium and heavy commercial vehicles (MHCVs) in sectors like e-commerce, auto-aggregates, and FMCG, Tata Motors commercial vehicles experienced sales growth. After the COVID pandemic, the CV passenger carriers segment is recovering its business through school and staff transportation.
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