Commercial vehicles FY2014-15 sales down, up in March 2015
SIAM reports Indian auto industry total (passenger vehicles, commercial vehicles, three wheelers and two wheelers) production for FY2014-15 stood at 23,366,246 (PY 21,500,165 units) to register 8.68 pct growth.
Passenger vehicle sales in the domestic market grew by 3.90 pct in April-March 2015. Passenger cars and utility vehicles grew by 4.99 pct and 5.30 pct, respectively. Sales of vans declined by 10.19 pct. Overall commercial vehicles sales decline stood at 2.83 pct for FY2014-15. Medium and Heavy Commercial Vehicles (M&HCVs) grew 16.02 pct. Light Commercial Vehicle sales decline stood at 11.57 pct.
Three Wheeler sales for FY2014-15 are up 10.80 pct. Passenger Carriers and Goods Carriers grew by 12.16 pct and 5.27 pct, respectively. Two Wheeler sales registered growth of 8.09 percent in April-March 2015 over April-March 2014. Scooters, motorcycles and mopeds grew by 25.06 pct, 2.50 pct and 4.51 pct respectively in FY2014-15 over FY2013-14.
Through FY2014-15, automobile exports grew by 14.89 pct. Exports for passenger cars, commercial vehicles, three wheelers and two wheelers were up 4.42 pct, 11.33 pct, 15.44 pct and 17.93 pct respectively.
Edelweiss Research auto sector research points to Q4 FY2014-15 sales volumes being mixed. CVs/PVs sustained growth momentum. 2Ws/UVs/tractors reported decline. Ashok Leyland (AL)/Eicher Motor (EIM)/Maruti Suzuki (MSIL)/Tata Motors (TTMT) are likely to report YoY revenue growth. Mahindra (M&M)/Hero MotoCorp (HMCL)/Bajaj Auto (BJAUT) are likely to report lower revenues.
AL/EIM/HMCL/MSIL YoY margins are likely to improve owing to vehicle portfolio, currency and operating leverage benefits. BJAUT/MM/TTMT are likely to report flat/lower margins. M&M margins are not set to expand. HMCL/MSIL/AL will benefit from plants located in tax-free zones, owing to reversal of excise duty anomaly.
MSIL sustained healthy growth (up 6 pct YoY). Industry remained modest at low single digit growth. M&M reports weak volumes, down 10 pct in automotive and 29 pct for tractor segment. In M&HCV segment, AL/TTMT/EIM reported 39pct/38pct/10 pct growth. 2/3Wheeler sales were subdued. HMCL and BJAUT reported 1pct/15pct decline.