Tata Motors PV sales suffered YoY decline in June 2024 – Total sales stood at 2.29 lakh units in Q1 FY2025
Tata Motors reported a decline in passenger vehicle sales in June 2024, with sales dropping to 43,524 units, a 7.86% decrease from 47,235 units in June 2023. The company’s lineup includes the Nexon, Punch, Harrier, Safari, Tiago, Altroz, and Tigor, as well as several EV models.
Tata Motors June 2024 Sales Breakdown
Month-on-month, sales fell by 6.79% from 46,697 units in May 2024, marking a decrease of 3,173 units. Exports also declined by 19% YoY, with only 100 units shipped compared to 124 in June 2023. Overall, total passenger vehicle sales for June 2024 were 43,624 units, an 8% drop from 47,359 units last year. Electric vehicle sales saw a significant YoY decline of 34%, falling to 4,657 units from 7,025 in June 2023. Year-to-date (YTD) sales in the domestic market dipped by 1% to 138,104 units from 140,120 units in the same period last year. However, exports surged by 75% to 578 units from 330. Total PV sales for Q1 FY25 were 138,682 units, a 1% decrease from 140,450 units in Q1 FY24. EV sales also dropped 14% to 16,579 units from 19,346 units in the previous year.
Mr. Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles Ltd. and Tata Passenger Electric Mobility Ltd. said, “In Q1 FY25, after a boost in demand in the first half of April, due to festivities in some parts of country, the Passenger Vehicle industry saw a decline in retails (registrations) in the months of May and June, influenced by the general elections and heat waves across the country. Tata Motors wholesales of 138,682 cars and SUVs in Q1 FY25 remained flat compared to Q1 FY24, as we readjusted our wholesales in line with retails to keep channel inventory under control.
The Electric Vehicle industry was affected by the broader industry trend and the impact of significant preponement fleet sales in Q4FY24, due to expiry of FAME II subsidy in March 2024. Consequently, while the personal segment retails have grown slightly, there was a sharp decline witnessed in the fleet segment, which is expected to recover in the coming quarters.”
Commercial Vehicle Sales and Forecast
In the commercial vehicle (CV) segment, Tata Motors showed positive results for June 2024 and YTD sales. HCV sales fell to 8,891 units from 9,625, while ILMCV truck sales grew by 6% YoY to 4,997 units and by 34% YTD to 13,791 units. Passenger carriers saw an 18% YoY growth to 5,654 units and a 39% YTD increase to 14,893 units.
However, the SCV cargo and pickup segment experienced a 21% decline in June 2024 sales to 11,081 units and a 6% YTD decrease to 34,241 units. Total domestic CV sales fell by 8% YoY to 30,623 units, while YTD sales grew by 7% to 87,615 units. CV exports improved by 16% YoY and 1% YTD, bringing total CV sales to 31,980 units in June 2024, a 7% YoY decline, but a 6% YTD increase to 91,209 units.
Mr. Girish Wagh, Executive Director, Tata Motors Ltd. said, “Tata Motors Commercial Vehicles domestic sales at 87,615 units in Q1 FY25 were ~7% higher than Q1 FY24 sales. Additionally, sales in June 2024 were ~3% higher compared to May 2024. The M&HCV segment led the growth with ~10% rise in Q1 FY25 sales volumes versus Q1 FY24. While HCV demand held up well, market sentiment remained positive in MCV segment with demand increasing in e-commerce, auto-aggregates and LPG segments. The CV passenger business continues with its robust post-pandemic recovery with school and staff transportation segments growing 39% during the quarter. Sales of small and light commercial vehicles declined by ~6% in Q1 FY25 compared to Q1 FY24, primarily due to financing challenges faced by ‘first-time users’ in this category.”
Future Prospects
Tata Motors is optimistic about future sales, expecting a healthy monsoon season and favorable infrastructure projects to boost demand. The upcoming launches of the Tata Nexon CNG and Curvv EV, are also anticipated to drive sales from later this year. Recently, the Tata Harrier EV AWD was spotted testing and is likely to be launched next year.
