We bring you our monthly report on the automobile sales for the month of January, 2017. You can catch all the January Sales here. You can also find all the coverage in relation to the automobile sector here.
Sales of Passenger & Commercial Vehicles stood at 3.68 lakh units in January, 2017 against 3.30 lakh units during the same time last year resulting in a growth of 11.42%.
YTD sales stood at 36.65 lakh units against 34.18 lakh resulting resulting in a growth of 7.2%.
Here’s Reuters coverage of Ford’s latest results: Ford sees lower 2017 profits, takes hit from pensions, Mexico.
Ford reported sales of 14259 units against 12834 units in January, 2017 resulting in a growth of 11.1%.
- Domestic Sales stood at 7,995 units against 7,045 units
- Exports stood at 6,264 units against 5,789 units.
- Ford India also extended its sales and service network with the inauguration of its new dealerships Arun Ford in Nagpur and Suryabala Ford in Coimbatore and Pollachi.
Anurag Mehrotra, Executive Director, Marketing, Sales and Service at Ford India said:
We continue to grow faster than the industry which is a testament to our strategy focused on product led innovation, delivering differentiated customer experience and busting the myth of Cost of Ownership. The industry continues to face short-term headwinds even as long-term outlook continues to be positive. The outlook is further strengthened by the government’s roadmap to boost rural economy, provide relief to personal income tax, and investment in further building the infrastructure. A timely implementation of GST is expected to make a significant positive impact on the economy while raising consumer sentiment in the months to come.
Here is what one of Hyundai’s executive had to say on the numerous entries in the Indian Car Market:
There are “multiple uncertainties” in the Indian market, which are limiting the capacity of companies to plan freely. The situation is so intense that “only a fortune-teller or an astrologer can predict”, which way the demand will be headed.
Hyundai also reported its 4Q financials. The parent company reported a 39% drop in its quarterly net profit. Hyundai continues to focus on discounting its products very heavily as it loses ground in all major markets. Hyundai India launched the Hyundai Professional Development Center at Pusa Institute of Technology, New Delhi. The tie-up aims to give exposure to Automobile trade students to modern automobile technologies.
Hyundai reported sales of 51,834 units in January, 2017 against 44,230 units during the same time last year resulting in a growth of 17.2%.
- Domestic Sales stood at 42,017 units against 38,016 units
- Exports stood at 9,817 units against 6,214 units
Mr. Rakesh Srivastava, Sr. Vice President – Sales & Marketing, HMIL, said:
Year 2017 looks promising with entire industry optimistically looking forward for a positive growth. Hyundai has shown all model growth of 17.2% on account of good performance by super performer brands Grand i10, Elite i20, Creta and without any new mass model launches. The Union budget will give boost to economy especially rural with focus on infrastructure creating a robust business environment thus helping auto industry and positively contribute to National GDP.
Honda will mark its entry in the sub 4 metre segment with the launch of the WR-V from March, 2017. The production of the model has already begun in the company’s plant at Tapukara in Rajasthan.
Honda reported sales of 16,574 units against 17,135 units resulting in a drop of 3.3%. YTD sales drop stood at 21.7%.
Out of 15,592 units, the largest selling car of Honda is City at 6,355 units followed by Amaze which sold 3,911 units, 627 units of Brio and 3,124 units of Jazz. While in the Utility vehicle segment, the company has together sold 1,575 unit including BR-V, Mobilio and CRV.
Yoichiro Ueno, President and CEO, Honda Cars India said:
HCIL sales results recovered this month as the consumer sentiment and currency situation has started improving gradually. We hope the situation normalizes and market recovers quickly.
Here is Vinod Aggarwal, MD & CEO of Volvo-Eicher Commercial Vehicles sharing his views on the CV industry:
- Impact of demonetisation may not be very large but it’s still there. The period October to March is the peak for the industry.
- Big organised players in the transport industry (for example the Transport Corporation of India) were not that impacted. Also, the core mining truck or public sector undertakings were also not impacted.
- Due to cash related issues, there has been a fall in the purchase of used trucks by small transporters.
- New norms are going to be applicable from April 1, 2017, which will induce some pre-buying of BS-IV trucks anticipating a price hike.
- Industry figures from Jan-Mar last year were good. For example, last year, around 70,000 to 72,000 units were sold from January to March period. It means that every month it has to be around 30,000 to 32,000 units. If we are able to do this, then we are good.
- We see much potential in light and medium duty trucks (5-15 tonne). Also bus segment is doing well due to demand from state transport undertakings and also the replacement segment.
- Estimate to grow around 13% this year – FY17.
VECV reported sales of 4,048 units in January, 2017 against 5,063 units during the same time last year resulting in a contraction of 20%.
- Eicher LCV Sales stood at 2,111 units against 2,807 units
- Eicher HCV Sales stood at 960 units against 1,126 units
- Eicher Buses Sales stood at 875 units against 1,013 units
Note: Sales numbers presented here are manufacturer reported sales numbers i.e. factory dispatches to dealerships. They are NOT retail sales figures to end customers.
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