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Maruti Suzuki's sales pick up pace in June but far cry from 2019 figures

Covid-19 related challenges meant Maruti Suzuki, as is the case with every automaker, closed an extremely challenging first quarter with dismal sales
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Maruti Suzuki says it has put strict measures in place at its factories and at dealerships and workstations to ensure health and safety concerns are met with.

Maruti Suzuki posted total sales of 57,428 units in the month of June. This includes 52,300 units in the domestic market and another 839 units to another OEM - Toyota. Additionally, the company exported 4,289 units in the month. While these figures are a step up from a very dismal May for the entire automotive industry, the dip in sales from the same month in 2019 paints a grim picture for the country's largest automaker.

Car manufacturing companies are slumbering back to life after weeks of lockdown due to Covid-19 pandemic brought production, sales and service to a standstill. Maruti Suzuki's plants in the country gradually resumed production as lockdown restrictions began to be eased. As was expected, the smaller cars from the company provided the most potent balm for the wounds with the mini and compact sub segments together accounting for 37,154 units in sales. The sun segments include Alto and S-Presso on the one end and WagonR, Swift, Celerio, Ignis, Baleno, Dzire and Tour S on the other. Compared to figures from a year ago, there was a dip of 54.5%.

The sedan segment has been listless for quite some time and June continued to see Ciaz massively underperforming. Just 553 units were sold last month as against 2,322 units in June of 2019. The launch of Verna 2020 last month and the upcoming launch of fifth-generation Honda City in July are not expected to make things any easier for Ciaz moving forward.

There was some glimmer of hope in the UV segment though. This segment features S-Cross, Vitara Brezza, XL 6 and Ertiga, and 9,764 units were sold last month, a decline of 45.1% over 17,797 units sold in June 2019.

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The company also saw sales figures on year-on-year basis decline in the Vans' sub segment and in the Light Commercial Vehicles' category.

Overall, Maruti Suzuki's total sales (domestic + export) in the month of July saw a 54% decline as against July of 2019. The company closed what has been a nightmarish first quarter with total sales of 76,599 units. "The company remains committed to the health, safety and well-being of all members across the value chain. Production across plants is being progressively increased consistent with maximum efforts to ensure safety and subject to the availability of employees," it said in a press statement.

First Published Date: 01 Jul 2020, 11:48 AM IST
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