Tata Motors Limited reported sales of 2,15,034 vehicles in the domestic and international markets for Q2 FY 2024-25, marking an 11% drop compared to the 2,43,024 units sold during Q2 FY 2023-24. The company’s domestic sales stood at 2,09,861 units, down 11%, while international sales followed a similar decline.
Commercial Vehicle Performance
Tata Motors’ commercial vehicle (CV) segment witnessed significant challenges, with total domestic CV sales dropping 19% year-over-year to 79,931 units. Heavy commercial vehicle (HCV) sales fell 25% YoY in Q2 FY25, a result of a slowdown in infrastructure projects, reduced mining activity, and lower fleet utilization due to heavy rains.
Girish Wagh, Executive Director of Tata Motors Ltd., said, “Sales in September 2024 were 11% higher compared to August 2024. However, the HCV and ILMCV segments experienced YoY declines of 25% and 11%, respectively. The resilient passenger commercial vehicle segment saw a 3% increase.”
Wagh expressed cautious optimism for Q3, expecting demand to improve with infrastructure spending and the festive season boosting consumption.
Passenger Vehicle Performance
Tata Motors’ passenger vehicle (PV) sales, including electric vehicles (EVs), reached 130,753 units in Q2 FY25, down 6% from the previous year. EV sales, a key segment for Tata Motors, dropped by 16% YoY to 15,642 units, largely due to the lapse of road tax waivers in key states and the end of certain subsidies, such as FAME II.
Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicles Ltd. and Tata Passenger Electric Mobility Ltd., noted that the industry witnessed a 5% drop in retail sales, but stock buildup suggested optimism ahead of the festive season. “Our new launches, like the Curvv and the higher range Nexon.ev, have generated strong consumer interest. Registrations picked up towards the end of the quarter, which augurs well for the festive period,” Chandra stated.
Tata Motors plans to ramp up production to meet demand during the upcoming festive season, hoping to reverse its fortunes as consumer sentiment improves.
