Shares of the Tata group's automaker Tata Motors advanced over 4% just after the company said that there is a rise of 14% in the total sales for the month of August 2017 to 48,998 units.
Shares of the Tata group’s automaker Tata Motors advanced over 4% just after the company said that there is a rise of 14% in the total sales for the month of August 2017 to 48,998 units. The total sales of Tata Motors passenger and commercial vehicles total sales (including exports) rose 14% to 48,988 units in August 2017 as compared to 43,105 vehicles sold in August 2016. The stock of Tata Motors gained as much as 4.18% to the day’s high of Rs 392.35 before closing 3.74% up at Rs 390.7.
The automaker’s domestic sales of commercial and passenger vehicles for the month of August 2017 grew 26% to 45,906 units versus 36,510 units in the same quarter last fiscal. The 26% growth in the domestic sales was due to growing demand across segments and increased positive customer sentiments, the company said in an exchange filing.
Segment-wise sales break-up
- The overall commercial vehicles sales in the month of August 2017, in the domestic market, jumped 34% to 31,566 units as compared to August 2016. The sales grew on the back of growing demand across segments supported by the continued ramp-up in production of BSIV vehicles since April this year.
- The (M & HCV) medium & heavy duty commercial vehicles segment saw a strong growth of 52% at 10,926 units in August 2017 versus 7,190 units in August last year. The (I & LCV) Intermediate & Light Commercial vehicle segment sales advanced 44% to 3,881 units in the month of August 2017 versus 2,703 units sold in August 2016, which is due to increased buying with the onset of festive season, company said in an exchange filing. However, passenger carriers sales (including buses) declined 4% to 4,078 in the month of August 2017 as compared to 4,238 units in the corresponding month last year.
- The (SCV) small commercial vehicle cargo and pickup segment sales grew 35% to 12,681 units in August 2017 versus 9,377 units sold in the same month previous fiscal. The rise in the sales of the small commercial vehicle was due to growing demand for new product introductions of the XL range of Tata Ace and the Tata Xenon Yodha pickup, company said in an exchange filing.
- The sales of passenger vehicles grew by 10 % to 14,340 units in August 2017 in the domestic market as compared to August 2016. The car segment sales remained flat at 11,462 units and the utility vehicle (UV) segment spiked 84% to 2,878 units driven by the Tata HEXA, the company added.
- While the total exports of the automaker declined 53% to 3,082 in the month of August 2017 as compared to 6,595 vehicles sold in August 2016. The company said the exports halved due to a continuous drop in industry volumes in Sri Lanka and Nepal.