Dealer dispatches were again mixed this month with strong dispatches in two wheelers (especially Hero Honda) and relatively weaker trends were visible in the passenger car segment. Two-wheeler dispatches appear strong, aided by strong rural demand, whereas in cars, retail demand continues to be very weak.
Hero Honda, Bajaj Auto & TVs Motors:
Hero Honda dealer dispatches were up 23% YoY. Bajaj’s domestic sales declined 4% YoY, whilst TVS’ domestic sales were very strong up 17% YoY. Hero Honda continues to build inventory levels ahead of the festive season to match demand
Domestic sales were up 3% Y/Y driven by strong sales of Swift and Dezire volumes and increase in inventory levels at the dealer end ahead of the festive season in Oct-Nov. Swift sales were up 31% Y/Y. A2 segment declined by 8% Y/Y. Maruti is waiting for the India Babus to get their accumulated Pay Check on Hand so that they can re-launch their Wheels of India marketing campaign again.
Mahindra & Mahindra:
Sept sales rose 17% YoY; driven by strong Utility Vehicles sales (+31% YoY) aided by strong sales of Non-Scorpio segment (+46% Y/Y) which offset weak Scorpio sales (-13% Y/Y). Tractor sales declined by 7% Y/Y.