Mahindra SUV Sales Surge 32% in November, Driven by Strong Demand

Indian automaker Mahindra & Mahindra Ltd. (M&M) reported robust SUV sales growth in November 2023, driven by healthy festive season demand amid supply constraints for select parts.

M&M sold 39,981 SUVs in the domestic market in November, a 32% increase over 30,238 units sold in November 2022. This took total SUV sales including exports to 40,764 units. The company’s total auto sales across passenger and commercial vehicles stood at 70,576 units, up 21% year-on-year.

“We continue our growth trend, backed by strong demand for our SUV portfolio. In November, we sold a total of 39,981 units, a growth of 32%,” said Veejay Nakra, President of M&M’s Automotive Division. “While we saw a healthy festive season, we faced supply challenges on select parts during the month,” he added.

M&M’s passenger vehicle sales, comprising utility vehicles and cars & vans, stood at 39,981 units in November 2023, a 32% increase over last year. In the year-to-date period of April-November 2023, passenger vehicle sales have grown 29% to 298,603 units.

The company’s portfolio of popular SUVs including the Scorpio, XUV700, Thar, Bolero and XUV300 drove the sales growth in the utility vehicle segment. Long waiting periods of up to 1 year on models like XUV700 and Thar also point to the strong demand.

On the commercial vehicles front, domestic sales grew 7% in November to 22,211 units, excluding 3-wheelers. This included light commercial vehicles sales growth of 54% for the under 2-tonne segment and 7% growth for the 2-3.5 tonne segment.

Total exports fell 42% to 1,816 units during the month.

Mahindra Tractor Sales

In the farm equipment segment, Mahindra sold 31,069 tractors in the domestic market in November 2023, a 6% increase over 29,180 units in November 2022. Total tractor sales including exports grew 5% to 32,074 units during the month.

Commenting on the farm equipment sales performance, Hemant Sikka, President – Farm Equipment Sector, M&M Ltd. said, “We have sold 31,069 tractors in the domestic market during November 2023, a growth of 6% over last year. The festive season saw high demand pull in the domestic market.”

“Terms of trade continue to be favourable for farmers; while rural spending by Government and progress in Rabi sowing are the factors to watch out for,” he added on the outlook for tractor demand.

On a cumulative basis, Mahindra’s tractor sales in April-November 2023 period are down 1% at 279,129 units in the domestic market and down 2% at 287,604 units including exports.

The month of November marked a reversal in trend for Mahindra tractor sales after seven consecutive months of decline or flat sales as industry demand had moderated due to delayed rainfall and high base effect. The sales growth in November was aided by festive season demand, better farm income prospects and higher Rabi crop sowing.