Tata Motors Shares Surge As Sales Rise 16% In FY19

Tata Motors share price rose as much as 2.85 per cent, to Rs 192.50 on the BSE, on top of yesterday's 6.33 per cent gain after it reported sales numbers for the month of March post market hours yesterday. Tata Motors domestic vehicle sales rose 16 per cent in March to 678,486 units compared with 586,507 units sold during the same month last year.

Tata Motors commercial vehicle sales in the domestic market for FY19 (April 2018 - March 2019), recorded a growth of 17 per cent with 468,692 units compared to 399,317 units sold during the same period last year. The commercial vehicle domestic sales in March 2019, grew by 4 per cent at 50,917 units, compared to 49,174 units sold last year, Tata Motors said in a press release.

The market however, continues to exhibit subdued demand on back of lingering effects of liquidity crisis, lag effect of the implementation of revised axle load norms, slowing economy and weak lIP growth index. The base effect is also playing a role in the muted growth of CV industry with reference to second half of financial year 2018-19, Tata Motors noted.

The medium and heavy commercial vehicle (M&HCV) sales in the domestic market for FY19 (April 2018- March 2019), registered a growth of 12 per cent at 151,105 units compared to 134,399 units sold last fiscal.

Tata Motors passenger vehicles (PV) sales in the domestic market for FY19 (April 2018-March 2019) were the highest ever in the last six years at 210,143 units, a growth of 12 per cent, compared to 187,321 units sold last fiscal, the press release added.

Due to continued weak consumer sentiments, the PV domestic sales in March 2019 witnessed, a drop of12 per cent, at 17,810 units, as compared with 20,266 units sold last year due to low customer sentiments in the market. With Nexon, Hexa and now Harrier joining the new generation utility vehicle (UV) products, this segment has grown by 16 per cent over last year, Tata Motors said.

Tata Motors shares ended 8.36 per cent higher at Rs 202.80. As many as 67.93 lakh shares changed hands on the BSE compared with an average of 11.96 shares traded daily in the past two weeks.