3-W sales plummet again while high base continues to impact growth in the Tractor Space

News: In 3-W, Bajaj Auto volumes de-grew 15.5% MoM to 40,803 units (domestic sales down 30% MoM) while M&M and Atul Auto posted 27.3%, 37% decline respectively. M&M's tractor sales declined 15.4% YoY to 27,681 units, with Escorts declined was placed at 30% to 7,116 units.

Views: Sequential decline in sales volume in the 3-W space comes as a negative surprise amidst near normal economic activity as well as low restrictions on personal mobility domestically. Tractor performance was on expected lines and was largely muted tracking high base of last year that had benefited from sharp post Covid pent up demand.

Impact: Negative