Honda cars India reports sales decline in March 2022 and for Q1 CY 2022; Ends FY22 on marginal growth
Honda Cars India is struggling where domestic sales are concerned. What was once steady at a number that was higher by a few thousand is now at a number that tends to be closer to the 7k -8k unit mark.
In March 2022, sales fell to 6,589 units, down from 7,103 units. Volume loss stood at 514 units at 7.24 percent decline. MoM sales fell from 7,187 units. Volume loss is reported at 598 units at 8.32 percent decline.
Honda Car Sales March 2022
Export for last month is reported at 2,243 units, having almost doubled from 1,069 units of export in March 2021. In Q1 CY FY22, sales fell to 24,203 units, down from 27,746 units. Volume loss stood at 3,543 units at 12.77 percent decline.
Though sales in the quarter just concluded were higher than sales in the preceding quarter. In Q4 CY 2021, quarterly sales were down to 21,538 units. As such, QoQ sales improved by 12.37 percent at volume gain of 2,665 units.
Honda Cars India Exports March 2022
Despite a lower quarterly result, HCIL did manage marginal annual domestic sales growth doe FY22 at 85,609 units. Growth is reported at 4.3 percent, up from 82,074 units in FY21. HCIL reports exports of 19,401 units through FY22, much higher than the 5,131 units reported in FY21. Volume gain stood at 1,174 units.
MoM export fell from 2,337 units at volume loss of under 100 units. Sales decline stood at 4.02 units. Total sales in March 2022 is reported at 8,832 units, up from 8,172 units. Volume gain stood at 660 units at 8.08 percent growth. MoM total sales fell from 9,524 units at volume loss of 692 units to a 7.27 percent decline.
Quarterly challenges
Mr. Yuichi Murata, Director, Marketing and Sales, Honda Cars India Ltd said, “The last fiscal year has been a mixed bag for the industry. Every quarter was punctuated with multiple challenges – from the pandemic to paucity, hike in raw material pricing and chip shortage. The industry, however, showed resilience and succeeded in restoring positivity in the market.”
He further added, “We weren’t isolated from these challenges and did feel the impact of the chip shortage. With the market situation returning to normalcy after an extended tough period, the current situation looks stable paving way for growth in future. We are entering this financial year with renewed energy and enthusiasm.”
Low base sales and exports were on account of Covid-19 pandemic restrictions that made for a difficult business environment. The period saw restricted visits to dealerships, as well as production stops to prevent the spread of Covid-19. Companies have also had to deal with an ongoing chips shortage where global supply is concerned. With the semiconductor situation to be much improved through 2022, all eyes are on a period of certainty. Honda is getting ready to launch City hybrid sedan in the coming weeks.
