Dealership inventory expansion drove strong wholesale gains for major producers, with Maruti Suzuki reporting a 25% surge to 2,76,120 units and Mahindra & Mahindra hitting record overall sales. In contrast to passenger and commercial vehicles, tractor sales slowed, underscored by a 12% decline at Mahindra & Mahindra due to the shifting holiday dates. Once festive demand ebbs, automakers must navigate mounting input prices, prompting analysts at Emkay Global to favor commercial vehicle and two-wheeler segments over passenger car manufacturers.
Key points
Shifting festive delivery dates to November inflated wholesale dispatches while setting u…: Shifting festive delivery dates to November inflated wholesale dispatches while setting up October retail registrations for a baseline decline.
Passenger vehicle wholesales expanded 28.3% across the financial year's first half, but p…: Passenger vehicle wholesales expanded 28.3% across the financial year's first half, but post-festive growth faces pressure from rising input costs.
Analysts favor two-wheeler and commercial vehicle makers because those segments possess s…: Analysts favor two-wheeler and commercial vehicle makers because those segments possess superior pricing power to transfer elevated commodity expenses to consumers.
Sources checked by our analysis pipeline: 1
Domestic passenger vehicle wholesales are estimated at 5.25-5.3 lakh units in October, compared with 4.6 lakh units in the year-ago month. This would mark growth of around 13-15% despite a high base.
ALSO READ | Maruti Suzuki records highest-ever monthly sales at 2.76 lakh units in October, up 25% YoY
Maruti Suzuki reported record monthly sales of 2,76,120 vehicles, up 25% year-on-year. Hyundai Motor India’s domestic wholesales rose 16.7% to 62,799 units. Mahindra & Mahindra also reported strong demand as the company's total vehicle sales grew 9% year-on-year to a record 13,1109 units.
"My take is, the industry should be between 5.25-5.3 lakh units," said Partho Banerjee, senior executive officer at Maruti Suzuki.
ALSO READ | Tata Motors PV sales rise 23% to 75,426 units; CV sales grow 27% in October
In the commercial vehicle segment, Tata Motors reported a 27% rise in sales, while Ashok Leyland recorded 23% growth. Tractors, however, remained a weak spot, with Mahindra & Mahindra reporting a 12% decline in total sales. The company attributed the fall primarily to a shift in festive dates.
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The reported multi-million-pound purchase consolidates a substantial footprint for the Ramsays in the affluent coastal village of Rock. Financed via a private bank mortgage, the acquisition underscores ongoing tensions regarding high-end holiday homeowners pricing out local communities. The transaction represents a new real estate pricing milestone for the Cornish seaside area.
Burckhardt Compression has reported first-half order intake that exceeded expectations. Further details regarding the specific financial figures and drivers behind the performance were not immediately disclosed.