In the current financial year, Mahindra & Mahindra is focusing on the constant and increasing wave of consumer demand for SUVs, which accounted for over 55% of all sales of passenger cars in India. The Mumbai-based car major sold 42,401 units in February 2024, a strong 40% year-over-year increase (February 2023: 30,358 units). With exports included, total car sales for February 2024 increased by 24% to 72923 vehicles.
In FY2024, M&M is expected to sell more than 450,000 units
M&M will easily exceed a record 450,000-plus units in FY2024 when March 2024 numbers are taken into account, even though it has already reached new heights in the first 11 months of FY2024 at 419,246 units, up 30% – 42,401 units more than the record FY2023's 376,845 units.
Although its monthly sales have averaged 38,113 units, M&M's best monthly dispatches were 43,708 units in October. The second-best monthly numbers for January 2024 were 43,068 units, followed by February (42,401 units).
Increased Production to pull off the demand:
Despite reporting a solid Q3 FY2024 performance, Mahindra & Mahindra still has a lot of "problems." The company announced last month that as of February 1, 2024, it had approximately 226,000 open reservations for its SUVs, which included the all-electric XUV400, the flagship XUV700, the Scorpio N and Scorpio Classic, Thar, Bolero and Bolero Neo, XUV300, and the Scorpio N. The company's SUVs are still in high demand, as evidenced by this figure.
The two Scorpios are currently averaging 16,000 bookings per month, accounting for the maximum number of bookings (101,000 units, or 45% of total bookings). The Thar (71,000 reservations), XUV700 (35,000 reservations), and the two Boleros (10,000 reservations) come next. Together, the XUV300 and XUV400 have 8,800 reservations.
M&M has significantly increased production at its factories to meet the enormous demand for most of its SUVs. The company has also implemented a strategic plan to boost output to as much as 49,000 units per month in the current financial year, or 600,000 units annually.
According to Veejay Nakra, President, of M&M Ltd.'s Automotive Division. "We sold a total of 42401 SUVs in February, with a growth of 40%, and 72923 total vehicles, a 24% growth over last year, This month, we introduced the Scorpio N Z8S variant and the Thar Earth edition to get some of our SUVs into the hands of customers sooner.”
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