Pak Suzuki Motor Company Limited (PSMC) sales registered a staggering growth of 40 per cent month-on-month to 9,000 units in January 2022.
According to a report released by AKD Securities, the PSMC remained the star performer this month after selling just 9k units in January 2022.
“The company has depicted a growth of 40% month-on-month and 42% year-on-year as it was able to fulfil its earlier commitments,” it said adding that the 8-month financial figures depicted a strong growth of 74% YoY.
It said that “we expect the growth to stabilize above 43% year-on-year to close near 125k units by the end of financial year 22.
The report said that product-wise, Alto remained PSMC’s star product, selling 7,175 units, displaying robust growth of 86% month-on-month and 69% year-on-year.
“Similarly, Cultus and Wagon-R sales closed the month at 1,692 and 1,646 units, rising 44% month-on-month/14% year-on-year and 7% month-on-month/102% year-on-year, respectively”.
In the LCVs category, Bolan sales grew 12% month-on-month/17% year-on-year while Ravi sales contracted 28% month-on-month and14% year-on-year, it said.
“We expect the new model of Swift to contribute on average 400-500 units every month from April-May where our rationale comes from positive feedback through our channel checks,” the report said.
The report said INDUS reported volumetric sales of 4,630 units (32% month-on-month/6% year-on-year) in the year February 22, lower by 27% when compared to its last 6-month average of 6,360 units.
“According to our channel checks, the lower offtake is due to the persistent semiconductor chip shortage. From the buyer’s perspective, demand remains sustainable at 5-6k units a month, however, the period of robust growth has definitely come to an end as signalled by the advances from customers’ figures on the company’s balance sheet, which has depicted a growth of mere 1% quarter-to-quarter by the end of December 2021,” the report said.
Product-wise, it said, the sales of Corolla and Yaris have contracted 34% month-on-month and Fortuner and IMVs sales have declined 22% month-on-month.
The report said that in the month of February 22 sales of HCAR closed in at 2,747 units, declining 32% month-on-month. “The chip shortage remains the major culprit, however, another factor that has contributed to lower volumes is the early beginning of the new model effect.
“HCAR has launched a new civic which is expected to hit the road in upcoming months. Till the car makes its entry, we expect the volumes of HCAR to remain on the lower side as the production of current civic has finally concluded. Product-wise, sales of Civic & City closed the month at 2,286 units (7% month-on-month and 4% year-on-year) while BR-V sales depicted a growth of 10% month-on-month/95% year-on-year to close at 461 units,” the report said.
