Nifty Auto falls 2% over weak July auto sales, Maruti Suzuki shares down 4%

The Nifty Auto index fell over 2% on Friday after many auto majors disclosed weak sales data for the month of July 2024.

Maruti Suzuki reported 11% fall in its mini plus compact sub-segment July sales at 68,642 units. Passenger car sales declined 11% to 69,245 units during the month. Total passenger vehicle sales came in 10% lower at over 1.37 lakh units in July. The light commercial vehicle saw an uptick in sales by 13% during the month at 2,891 units.

Tata Motors also reported a fall in vehicle sales during the month. Total passenger vehicle sales declined 6% to 44,954 units in July. Domestic commercial vehicle sales fell 19% YoY to 25,436 units while total commercial vehicle sales declined 18% YoY to 27,042 units in July. Total domestic sales stood at 70,161 units, down 11%.

Eicher Motors, too, didn’t have a great month as far as sales are concerned. The firm disclosed that models with engine capacity upto 350 cc fell 12% YoY to 56,590 motorcycles in July. Models with engine capacity exceeding 350 cc rose 22% to 10,675 units. However, total sales fell 8% YoY to 67,265 units during the month. International business also witnessed some slowdown with sales falling 14% YoY to 6,057 units in July.

Meanwhile, M&M witnessed a 15% rise in July sales at 41,623 units during the period. Sales of light commercial vehicles (LCV) lower than two tonnes fell 11% YoY in July to 3,036 units while LCVs between 2-3.5 tonnes saw sales falling 14% YoY to 13,541 units. LCVs greater than 3.5 tonnes and medium and heavy commercial vehicles saw sales rise 77% to 3,136 units in July. M&M saw exports fall by 40% during the month.

Notably, the Nifty Auto index has risen over 39% since the beginning of the year.