Tata Motors Sales Show Strong Growth In May; Shares Rally

Business

oi-Sunil

By Sunil Fernandes

Published: Thursday, June 2, 2016, 10:26 [IST]

Tata Motors had a good month of May, with vehicles sales gaining ground in certain categories, pushing overall sales growth.

The LCV sales at the company grew 6 per cent in May, while the hatchback sales grew 7 per cent, thanks to the new launch of the Tiago.

"Tata Motors continued to witness strong year-on-year growth in certain key segments, with the company's M&HCV and LCV sales, in domestic market, growing by 23% and 6% respectively.

The company's total commercial and passenger vehicles sales (including exports) in May 2016 were at 40,071 vehicles, a growth of 1% over 39,496 vehicles sold in May 2015. The company's domestic sales of Tata commercial and passenger vehicles for May 2016 was at 35,643 nos., a growth of 2%, over May 2015," the company said in a release.

Exports, however, did not do too well. Exports at the company in fact dropped by 5 per cent. "The company's sales from exports was at 4,428 nos., in May 2016, a decline of 5% compared to 4,678 vehicles sold in May 2015. The cumulative sales from exports for the fiscal was at 8,213 nos., lower by 3%, over 8,464 nos., sold last year," the company said in a statement.

Shares of Tata Motors were up almost 2 per cent at Rs 456 on the National Stock Exchange. Tata Motors Limited is India's largest automobile company, with consolidated revenues of INR 2,75,561 crores (USD 41.6 billion) in 2015-16. Through subsidiaries and associate companies, Tata Motors has operations in the UK, South Korea, Thailand, South Africa and Indonesia.

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