- 04 Mar 2024
- ICICI Securities
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W & PV SEGMENT OUTSHINES, CV & TRACTORS DISAPPOINT
News: Auto OEM sales volume for month of February 2024 continued with its previous month trend and came in as a mixed bag. Volumes grew healthy double digit on YoY basis across the 2-W (20%+) and PV (15%+) segments while declined across the CV (low single digit) & Tractor (double digit) segments. In PV space, Maruti Suzuki sales volume were up 15% YoY at 1.94 lakh units. Tata Motors volumes were up by 19% at 51k units, while volumes at M&M were up healthy 40% YoY at 42k units. In 2-W pack, Market leader Hero MotoCorp reported healthy volume growth of 19% YoY at 4.7 lakh units, whereas volumes at TVS Motors were at 3.6 lakh units up 34% YoY. Royal Enfield brand at Eicher Motors reported tad muted volumes vs. its peers at 76k units (up 6% YoY), while Bajaj auto volumes were up 25% YoY at 2.95 lakh units.
Views: In CV segment, Market leader Tata Motors reported volumes of 35k units down 4% YoY. VECV volumes at Eicher Motors were up 2% YoY to 7.4k units, while Ashok Leyland reported a volume decline of 6% YoY at 17.5k units. In the tractor segment, M&M reported a volume decline of 16% YoY at 21.7k units while Escorts reported volumes decline of 17% YoY at 6.5k units. M&M and TVS Motors have outperformed their peers in respective segments. In the CV space YoY decline was witnessed in the M&HCV truck segment while buses segment continues to do well. Exports volumes recovered especially for the 2-W players.
Impact: Neutral