Tata Motors Q2 FY24 results: Passenger vehicles' sales decline 2.7%, EV sales jump 55%

Tata Motors Q2 performance: Auto major Tata Motors Limited has reported a minor decline in the total sales of its units in the domestic and international market year over year (YoY). In Q2 FY24, the total vehicle sales stood at 2,43,024, compared to 2,43,387 units in the year-ago period, according to an exchange filing by the company.

The company's total domestic sales in the quarter ended September 2023 stood at 2,37,128 as against 2,36,090 during Q2 FY23. In the commercial vehicle category, the total sales of HCV Trucks witnessed a 25 per cent increase from 24,227 in Q2 FY23 to 30,369 in Q2 FY24. ILMCV Trucks' sales declined 1 per cent YoY from 16,730 in Q2 FY23 to 16,483 in Q2 FY24. The passenger carriers segment saw a 32 per cent jump YoY from 8,040 in Q2 FY23 to 10,622 in Q2 FY24. The sales in SCV cargo and pickup saw a decline of 7 per cent, from 44,768 in Q2 FY23 to 41,704 in Q3 FY24.

Girish Wagh, Executive Director, Tata Motors Ltd. said, “Tata Motors Commercial Vehicles domestic sales stood at 99,178 in Q2 FY24, 6 per cent higher than Q2 FY23. Our upgraded BS6 phase II product range continues to see good traction as our customers experience the benefits of lower total cost of ownership, efficient powertrains, and enhanced value-additions. M&HCV segment saw a strong growth of 24 per cent over Q2 of FY23, fuelled by continued government infrastructure push, robust replacement demand, and growth in core sectors, along with sustained growth from the e-commerce sector."

"We have scaled up our electric bus manufacturing to service orders won from various STUs under CESL’s Grand Challenge. Looking ahead, continuing infrastructure thrust by the Government and improving consumption auger well for the CV industry, while rural demand remains to be a key monitorable, as monsoon has been below average,” he added.

In the passenger vehicle category, the company's total domestic sales (including electric vehicles) reported a 2.7 per cent decline from 1,42,325 in Q2 FY23 to 1,37,950 in Q2 FY24. Internationally, the passenger vehicles' sales stood at 989 units in Q2 FY24, an 88 per cent increase YoY as against 526 units in Q2 FY23. Tata Motors' total passenger vehicle sales declined 3 per cent YoY from 1,42,851 in Q2 FY23 to 1,38,939 in Q2 FY24. However, the electric vehicle segment recorded a 55 per cent growth in total sales (both domestic and international) from 12,041 in Q2 FY23 to 18,615 in Q2 FY24.

Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles Ltd. and Tata Passenger Electric Mobility Ltd. said, “Passenger vehicle sales remained strong in Q2 FY24 driven by new launches and pre-festive offtakes. Tata Motors posted quarterly sales of 1,38,939 cars and SUVs in Q2 FY24, ~2.7 per cent below our highest-ever quarter, Q2 FY23. Our EV business continues its strong momentum and has posted growth of about 55 per cent year-on-year."

"In Q2 FY24, we extended our innovative twin-cylinder CNG offering to Tiago, Tigor, and Punch, which have been received well by the market. This quarter also saw the launch of the new generation Nexon and Nexon. EV, which has received an overwhelming market response. We had proactively reduced supplies of the outgoing models this quarter to enable a smooth transition to the new generation models. Going forward, with deliveries commencing of our exciting new generation products, we expect stepped-up volumes in this festive season and beyond,” Chandra added.