Tata Motors Limited’s (TTM - Snapshot Report) shares gained 2.5% on Oct 3, after the Indian automaker reported an 8% increase in total sales of its commercial and passenger vehicles, including exports, to 48,648 units in Sep 2016 from 45,215 units in Sep 2015. Cumulative sales from Apr through Sep 2016 were 258,598 units, up 7% from the prior-year period.
The year-over-year improvement in September sales was driven by higher passenger car sales and exports. The automaker’s domestic sales of Tata commercial and passenger vehicles totaled 42,961 units in the month under review, 5% higher than the year-ago level.
In the passenger vehicles business, Tata Motors’ domestic sales for Sep 2016 surged 24% to 14,601 vehicles from 11,732 vehicles in Sep 2015. The recently launched Tiago witnessed strong demand.
In the commercial vehicles business, Tata Motors’ sales in the domestic market dropped 2% to 28,360 vehicles in Sep 2016. Sales in the Light Commercial Vehicle business increased 19%, while Medium and Heavy Commercial Vehicles (M&HCV) witnessed weak demand.
Tata Motors’ export sales for the month of September rose 29% to 5,687 vehicles from 4,402 vehicles sold a year ago.
Tata Motors is one of the leading automotive manufacturers in India. The company has operations in the U.K., South Korea, Thailand, South Africa and Indonesia.
Peers include U.S. automakers such as Ford Motor Co. (F - Analyst Report) and General Motors Co. (GM - Analyst Report) , as well as foreign automakers like Honda Motor Co., Ltd. (HMC - Analyst Report) .
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