CV segment reports muted volumes prints for July 2022
News: Market leader Tata Motors (TML) reported July 2022 CV volumes of 34,154 units down 8.3% MoM, with volumes at M&M up 2.5% MoM at 20,946 units (LCV up 1.6%, M&HCV up 31.2%). VECV volumes at Eicher Motors declined 5.2% MoM to 5,982 units while Ashok Leyland reported volume prints of 13,625 units, down 6.2% MoM.
Views: Volume prints came below our expectation of single digit MoM increase. M&HCV segment witnessed nearly double-digit sequential de-growth while LCV segment grew mid-single digit. Going forward, with cyclical upswing & revival in capex cycle, we expect CV volumes to improve and report higher double digit volume growth in FY23E.