It may not be time to rejoice quite yet but a smile must be trickling in no doubt on the faces of head honchos at Auto companies as May 2014 sales of all major carmakers have shown signs of an upswing. Let's have a look at the top carmakers in India last month andndash;
1. Maruti Suzuki
India's largest carmaker has had a phenomenal month at the sales charts on the face of it. A 16.4 percent rise in sales over the corresponding period last year definitely indicates an upswing. Maruti sold 90,560 units in May 2014 compared to 77,821 units in May 2013. Last year though was quite a poor year for carmakers, each posting low sales numbers besides Honda. The Maruti sales report also shows a decline in entry level hatchback sales by 7.5 percent and a growth of 54 percent in the larger hatchback segment where the Swift, Ritz and the Celerio do duty. The Dzire sold almost 19,000 units per month, a growth of 9.8 percent. With the Alivio coming, Maruti further has a chance to strengthen its market share. Maruti's exports are up 51.2 percent in May as well.
2. Hyundai
Hyundai was seeing flat sales since the past few months but May 2014 sales are up 12.8 percent. The Korean carmaker sold 36,205 units in May 2014 as opposed to 32,102 units in the corresponding period last year. Increase in sales in mainly due to the Xcent compact sedan that is off to a flier. Hyundai has used India as an export hub so things don't look too good on this front as exports were down 37.3 percent last month.
3. Mahindra
Mahindra is losing a bit of edge in the passenger car segment as sales continue to fall. The UV maker's sales in May fell 19 percent to 18,085 units from 22,244 units in May 2013. The SUV segment for vehicles that are more than 4 metres in length is facing a tough time due to heavier taxes and Mahindra's large portfolio chunk falls in this category. The company's compact SUV is still some time away so we do not expect a turnaround in sales for Mahindra any time soon.
4. Honda
Honda cars continues to post strong sales figures. In May 2014, the Japanese carmaker sold 13,362 units, a growth of 18 percent to the same period last year. In May 2013, Honda sold 11,342 units. Sales of the Amaze seem to have taken a hit by the Xcent's launch. Sales of the Amaze have dropped from 6,036 units to 4,752 units but the downfall has been arrested to a large extent by the over-performing City. The City continues to lead the sedan segment posting 7,218 unit sales in May 2014. Honda will launch the Mobilio next month that is expected to slot between the Ertiga and Innova and mark the company's foray into the MPV segment. This new car launch has the potential to take Honda past Mahindra and claim third spot in the Indian car sales market.
5. Toyota
Close on Honda's heels is Toyota. The Bangalore based Japanese carmaker sold 11,833 units in May 2014, a growth of 18 percent over the same period last year. Toyota sold 10,023 units in May 2013. It's old workhorse, the Innova continues to share the largest chunk of the sales pie but most of it is now sold in the commercial space. With so many variants of the Etios sedan and Etios Liva hatchback now available, the company has a good line-up in its showroom. The Altis adds to this portfolio but we do not believe it will be a major contributor as this segment as a whole is shrinking.
Tata Motors has now slipped comfortably out of the top five in India but expect a turnaround from the Indian carmaker as the Bolt and Zest are right around the corner and fall into bustling segments with high sales potential.