Mahindra & Mahindra (M&M) on Thursday reported total auto sales, including passenger vehicles and commercial vehicles, for the month of June 2021 at 32,964 vehicles. This was higher by 70.3 percent as compared to 19,358 units sold in the same month last year.
The company’s auto sales beat CNBC-TV18 analysts’ poll estimates of 27,316 units.
“With the opening up of the market in a phased manner, we are seeing a boost in demand in both urban and rural and we expect the upward trend in demand to continue across all segments and markets,” said Veejay Nakra, Chief Executive Officer, Automotive Division, M&M.
In the Utility Vehicles segment, Mahindra sold 16,636 vehicles in June 2021. The Passenger Vehicles segment (which includes UVs, Cars and Vans) sold 16,913 vehicles during the month.
Exports for the month of June 2021 were at 2607 vehicles.
“As we come out of the second wave of the pandemic, by and large, our supply chain has stabilized except for the global semiconductor issue, which still continues to be a challenge that we are addressing as a top priority,” Nakra added.
M&M’s Farm Equipment Sector (FES), posted total tractor sales of 48,222 units in June 2021, a rise of 32 percent from 36,544 units in June 2020. Tractor sales were better than estimates of 37,074 units.
Domestic sales during the month rose 31 percent to 46,875 units as against 35,844 units, while exports jumped 92 percent to 1,347 units from 700 units, YoY.
“The sharp fall in Covid-19 cases and resultant easing of related restrictions, arrival of timely monsoon, increase in MSP rates for key kharif crops and continued strong Government support to all agri activities is giving a very strong momentum to tractor demand,” said Hemant Sikka, President - Farm Equipment Sector, Mahindra & Mahindra.
Sikka said the company continues to remain optimistic about the progress of the monsoon and tractor demand in the coming months.
At 2:05 pm, the shares of M&M were trading 0.33 percent higher at Rs 780.90 apiece on the BSE.
(Edited by : Aditi Gautam)
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
