2W Segment Under Stress In H1 FY24; PV Segment Grows 6%
In the first half of the financial year 2024 (April-September), the automotive industry retailed 78,28,015 units of 2W; 5,33,353 units of 3W; 4,65,097 units of CV; 18,08,311 units of PV and 4,44,340 units of tractors.
CATEGORY | H1 FY'24 | H1 FY'23 | H1 FY'22 | % Chg (H1'23) | % Chg (H1'22) | H1 FY'21 | % Chg (H1'21) |
2W | 78,28,015 | 73,13,930 | 59,14,894 | 7.03% | 32.34% | 47,76,407 | 63.89% |
3W | 5,33,353 | 3,21,964 | 1,42,168 | 65.66% | 275.16% | 83,925 | 535.51% |
CV | 4,65,097 | 4,50,458 | 2,83,562 | 3.25% | 64.02% | 1,25,453 | 270.73% |
PV | 18,08,311 | 17,02,905 | 13,35,814 | 6.19% | 35.37% | 7,83,333 | 130.85% |
TRAC | 4,44,340 | 3,89,815 | 3,73,856 | 13.99% | 18.85% | 3,34,648 | 32.78% |
Total | 1,10,79,116 | 1,01,79,072 | 80,50,294 | 8.84% | 37.62% | 61,03,766 | 81.51% |
Source: FADA Research
Commenting on H1 FY’24 Auto Retails, FADA President, Manish Raj Singhania said, "As Fiscal Year 2024 unfolded, the auto retail sector in India embarked on a journey of cautious optimism and resilience amidst a mix of obstacles and victories across various vehicle categories. The initial modest 4 per cent decline in April's overall vehicle retails was not only a reflection of the dynamic nature of the automotive market but also a precursor to a story of gradual recovery and growth that would unfold over the subsequent months, culminating in a robust 20 per cent YoY growth in September.
The narrative of H1 FY’24 is one of resilience and recovery, with the total auto retail registering a 9 per cent growth YoY. All categories also showed YoY growth with 2W, 3W, CV, PV and Trac growing by 7 per cent, 66 per cent, 3 per cent, 6 per cent and 14 per cent respectively.
The 3W segment was the undisputed star, with a 66 per cent YoY growth, consistently registering unparalleled sales figures month after month. Notably, the first half of FY'24 saw the 3W segment retailing a record-breaking 5,33,353 units, significantly outperforming the H1 FY'19 figures of 3,58,187.
The PV segment, while having its set of challenges, also showcased a narrative of steady resurgence and growth. It not only grew by 6 per cent YoY but also witnessed record retails, with H1 FY'24 seeing an all-time high in PV retails at 18,08,311, surpassing the previous record set in H1 FY'23 at 17,02,905.
Despite a slowdown in the last month, Tractor sales have not been left behind in this growth narrative. The first half of FY'24 witnessed record-breaking retails of 4,44,340 units, reflecting a substantial 20 per cent YoY growth. This performance indicates a strong market demand but also surpasses the sales figures of H1 FY'23, which stood at 3,89,815.
The CV sector registered sales of 4,65,097 units, only second to its record in H1 FY'19 with 4,72,492 units. However, the 2W segment is under stress, still far from its H1 FY'19 peak of 97,27,200 units.
