3-W space witnessing some green shoots

News: In the 3-W space, market leader Bajaj Auto is yet to report numbers. However, M&M reported 32.9% sequential increase in sales volume at 3,812 units (primarily E-3W portfolio) while Atul Auto posted 21% MoM decline at 1,365 units. TVS posted 11.4% MoM growth at 14,089 units. M&M's tractor sales declined 27.4% YoY to 20,437 units, with Escorts decline placed at 45.6% YoY to 6,114 units.

Views: The 3-W space volumes picked up at some players tracking gradual reopening of schools & colleges amid stiff competition from the e-rickshaw segment. 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: Neutral