Maruti February sales decline 6 per cent year-on-year

01 March 2006

Maruti Udyog has reported total sales of 41,095 units for the month of February 2006 as compared to 43,603 units during the same month of pervious year - a decline of 5.8 per cent.

As compared to the previous month of the current year, sales have declined by 21.94 per cent. The company had reported total sales of 50,109 units for the month of January 2006.

The company was expected to report lower sales for the month as there were reports that many potential buyers were deferring their purchase on expectation of an excise cut in the budget.

Now that the excise duty on small cars has been reduced and the company has announced price reductions across most of its small car models, volumes are expected to pick up this month.

The company recorded a decline in sales in most segments. Sales of entry level cars and vans declined by around 25 per cent each. Sales of SUV's dropped 69 per cent as compared to the same month of previous year.

Mid-sized sedans were the best performers for the month with a sales growth of 6.3 per cent. Premium hatchbacks ended with a marginal growth of 2.5 per cent. Exports increased by 18.8 per cent for the month.