India's largest passenger car manufacturer Maruti Suzuki reported a robust 30.8 percent rise in total sales at 160,442 units in September as against 122,640 units in the same period last year. The sales were better than Nomura’s expectation of 1.58 lakh units.
“The performance has to be seen in the context of the lower base of September 2019,” the company said in a regulatory filing.
Total domestic sales increased 32.2 percent to 152,608 units from 1.15 lakh units which included 2,568 units sold to other OEMs. The company exported 7,834 units in September 2020, 9 percent more than 7,188 units sold in September 2019.
With total sales of 393,130 units in Q2FY21, the company registered a growth of 16.2 percent over the same period the previous year, on a lower base.
Maruti Suzuki’s domestic passenger car sales during the month jumped 33.9 percent to 147,912 units from 110,454 units, YoY.
The company sold 2,128 units of its Light Commercial Vehicle Super Carry in September 2020.
“Maruti Suzuki reported better than expected sales numbers for the month of September 2020. Domestic sales growth was driven by the entry-level mini and compact segments which reported growth of by 35.7% YoY and 47.3% YoY respectively driven by the increased preference for personalized transportation post-COVID-19," said Jyoti Roy - DVP- Equity Strategist, Angel Broking Ltd..
While monthly sales numbers are expected to stabilize going forward, the low base of last year is helping growth numbers will go away from October and hence growth rates are expected to moderate from September’s very high level, Roy added.
The share price of Maruti Suzuki rose as much as 2.42 percent to Rs 6,906.60 on the BSE. At 11:15 am, the stock was trading 1.83 percent higher at Rs 6,866.00 apiece as against 1.4 percent gains in benchmark Sensex.
First Published: IST