Mahindra & Mahindra Ltd registered a 12 percent dip in vehicle sales for the month of February as against sales in the same period a year ago.
M&M has sold 42,166 units in February, against the 47,824 units the corresponding month last year. Its domestic sales witnessed a decline of 11 per cent in February 2014 to 39,338 units over February 2013 sales.
The passenger car segment including the UVs and Verito recorded a fall of 18 percent to 23,421 units in February 2013. The four-wheeler commercial vehicle segment marked a fall of 3 percent to 14,701 units while three-wheeler sales declined 2 percent to 4,724 units in February 2014 as against the sales in last year.
After the announcement, shares of M&M dropped by 0.67% to Rs 966.95 at 9:32 IST on BSE from the previous close.
Pravin Shah, Chief Executive, Automotive Division, M&M told Business Standard: "The Auto industry has received the much needed boost in terms of an excise duty reduction and this has resulted in higher enquiries over the last one week. The recently concluded Auto Expo has also been a success which will only help in generating demand. At Mahindra we are hopeful that these positive initiative would be the beginning of a gradual upswing for the auto industry, as we move into the next financial year".
Bajaj Auto also posted a decline of 6 percent in domestic sales for February 2014.The Company sold a total of 273,323 motorcycles as against the 291,297 units last year.