It had sold 12,622 units in the same month of the previous year, Toyota Kirloskar Motor (TKM) said in a statement.
In the domestic market, TKM sold 11,740 units in December 2014, as compared to 10,648 units in December 2013, up 10.25 per cent.
The company exported 1,888 units of Etios last month.
TKM Senior Vice President (Sales and Marketing) N Raja said: "In continuation of the November upswing, we have registered growth in the domestic and overall sales in December as well. This momentum can be attributed to the year ending."
On the discontinuation of reduced excise duty, he said the company will study the market reaction and announce the price revision of its products accordingly.
"We would have expected the government to continue the excise duty concessions as this was supporting the revival of the auto industry after a rather sluggish two years," Raja said.
The company hoped that government would give greater consideration for the next fiscal Budget on structural reforms for the auto sector which is an important part of the "Make in India" campaign, he added.