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Auto Volumes August 2024: 2-W outshine amid muted OEM show, CV disappoints

ICICIdirect Research 06 Sep 2024 DISCLAIMER

August sales volume came in broadly muted with 2-W space outperforming the other segments with positive YoY volume growth prints. PV space broadly witnessed a single digit decline while drop was sharp in CV space at double digit especially in the truck segment while Buses continued to do good. Tractor space reported flattish performance.

M&M, Bajaj Auto and VECV arm of Eicher Motors outperformed peers in the respective segments.

In 2-W pack, Bajaj Auto outperformed its peers led by total volumes at 3.35 lakh units, up 18% YoY. Also, TVS Motors reported healthy growth of 14% YoY at 3.8 lakh units. Royal Enfield at Eicher Motors reported muted performance with volumes at 74k units, down 5% YoY, the mix however improved with 47% YoY growth in >350 cc segment. 

In PV space, M&M outperformed its peers with growth of 16% YoY at 43k units. Tata Motors volumes were down by 3.2% YoY at 44k units. Maruti volumes were also down by 4% YoY at 1.8 lakh units. However, Tata Motors’ flagship EV volumes reported a MoM recovery of 18%, reaching 6k units. Even for Maruti, product mix improved in favour of UVs with volumes up 11.3% in this space on MoM basis at 63k units (forming ~34% of total).

In CV segment, market leader Tata Motors reported volumes of 27k units, down 15% YoY. Ashok Leyland volumes also de-grew by 7% YoY to 14.5k units. While VECV arm of Eicher Motors witnessed growth of 1% YoY at 6.5k units. Within M&HCV space, buses sub-segment continued to perform better than trucks.

In tractor space, M&M reported volumes of 22k units, up by 1% YoY while Escorts reported a growth of 0.4% YoY at 5.6k units. Notably, the recent pick up in rainfall activity across the country bodes well for domestic tractor space amidst broader forecast of above normal monsoon season’24.

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