This article is keeping track of Tata Motors Limited (TML)’s vehicle sales volume on a quarterly basis.
For your information, Tata Motors Limited is a wholly-owned subsidiary of Tata Motors Group, a leading global automobile manufacturing company based in Mumbai, India.
Aside from Tata Motors Limited, Tata Motors Group also wholly owns Jaguar Land Rover (JLR), a UK-based company that was only established after the acquisition in 2008.
Therefore, the vehicle sales volume presented in this article includes only those from Tata Motors Limited.
In addition, the vehicle sales volume that we are going to discuss here is based on a wholesale basis extracted directly from Tata Motors Limited’s quarterly press releases.
There is a difference between retail-based and wholesale-based vehicle sales.
In simple terms, wholesale-based vehicle sales volume generally correlates closely with the revenue or sales data presented in the company’s profit and loss statements whereas retail-based vehicle sales volume does not.
The data presented on other websites may not tell you about the nature of the vehicle sales data simply because they have no idea.
Nevertheless, let’s go take a look at the following topics!
Total Vehicle Sales Volume
For total vehicle sales volume, Tata Motors Limited delivered 677,000 vehicles on a wholesale basis as of 3Q FY22, a record high for the company since FY20.
Despite facing a multitude of challenges in FY22, including the chip crisis as well as the ongoing COVID-19, TML continues to execute efficiently for both the domestic and international (export) markets.
As a result, TML’s vehicle sales have been on a rise after bottoming out in 1QFY21 at 361,000 units and the figure has nearly doubled in Q3 FY22.
On a year-on-year basis, Tata Motors Limited’s TTM vehicle sales of 677,000 units reported in 4Q FY22 represent a growth rate of more than 70%.
Domestic And Export Vehicle Sales Volume
In the domestic market of India, Tata Motors Limited shipped 642,000 vehicles on a TTM basis as of 3Q FY22, and this figure consists of as much as 95% of the company’s entire volume.
Since FY21, TML’s domestic vehicle sales volume has been rising after plummeting to only 334,000 units in 1Q FY21 during the onset of the COVID-19 pandemic.
As of FY22 Q3, Tata Motors Limited’s domestic vehicle volume grew 71% on a year-over-year basis.
In contrast, TML’s export sales consisted of less than 5% of the company’s entire volume in FY22 Q3, notably at only 35,000 vehicles.
Despite the relatively small volume, Tata Motors Limited’s export sales in Q3 FY22 were also at a record high, representing an 84% growth rate compared to the same quarter a year ago.
In short, TML’s vehicle wholesale in both domestic and international markets has fully recovered from the COVID slump and even exceeded that of the pre-pandemic levels as of 3Q FY22.
Total Commercial Vehicle Sales Volume
Tata Motors Limited’s commercial segment is an important business to the company as it is as large as its passenger segment, and contributes tonnes of sales to the company.
The company sells a variety of commercial vehicles such as trucks, vans and buses.
In 3Q FY22, TML’s commercial segment delivered 344,600 vehicles on a TTM basis, driven mainly by the pent-up demand for the company’s medium and heavy trucks (M&HCV) in a post-pandemic world.
In a post-pandemic world, Tata Motors Limited’s commercial segment vehicle wholesale also has fully recovered from its COVID slump and the latest figure has even slightly exceeded that of its pre-pandemic results.
Moreover, in the 3rd quarter, Tata Motors Limited has continued to witness a higher number of road construction projects being awarded and improving cement consumption in the domestic market of India, and the result was a higher utilization of commercial vehicles, trucks in particular.
Therefore, Tata Motors Limited’s commercial vehicle sales have continued to outperform in the 3rd quarter and the company saw a year-on-year growth rate of as much as 54% in the same quarter.
Commercial Vehicle Domestic And Export Sales Volume
Again, the domestic market has largely dominated Tata Motors Limited’s commercial vehicle sales volume.
As of 3Q FY22, TML shipped 311,000 commercial vehicles on a TTM basis to the domestic market of India compared to only 33,000 vehicles for the export market.
Both domestic and export markets’ commercial vehicle sales have grown significantly in 3Q FY22, and the year-on-year growth rates totaled 51% and 80% for the domestic and export volume, respectively.
Despite the relatively small sales volume for the export market for commercial vehicles, it grew the most at more than 80% compared to the domestic market.
Total Passenger Vehicle Sales Volume
According to the chart above, Tata Motors Limited’s passenger vehicle wholesale volume seems to have recovered and grown at a much faster speed compared to the commercial segment.
As seen, TML’s total passenger vehicle sales volume reached more than 331,000 units as of FY22 Q3 on a TTM basis, representing a year-on-year growth rate of nearly 100%.
The 3Q FY22 vehicle delivery figure was more than 150% higher than the figure reported prior to the pandemic which clocked in at 131,000 vehicles in 4Q FY20.
In addition, Tata Motors Limited’s passenger segment was much smaller than its commercial segment in terms of vehicle wholesale volume in the past.
However, as of 3Q FY22, TML’s passenger segment was nearly at the same size as that of its commercial business in terms of vehicle volume.
Therefore, Tata Motors Limited’s passenger segment has grown at a much faster growth rate than its commercial counterpart.
In short, TML’s passenger vehicle sales have been on a tear during pre-pandemic and post-pandemic periods and the adverse impact of the COVID-19 outbreak seemed to have little effect on the company’s passenger vehicle wholesale.
Passenger Vehicle ICE And EV Sales Volume
The breakdown of Tata Motors Limited’s passenger segment shows that the company’s ICE vehicle sales constitute the majority portion of the total vehicle volume in the passenger segment.
As of 3Q FY22, ICE vehicle sales reached as many as 319,500 units on a TTM basis, a record high for the company in the last 4 quarters.
On the other hand, Tata Motors Limited’s EV sales reached only 12,000 units as of 3Q FY22 on a TTM basis, a far lower number compared to the ICE vehicle wholesale figure.
Despite the relatively low volume for EV sales, this segment has grown at 178% year-over-year compared to the 47% growth rate reported in the ICE segment.
As a result, Tata Motors Limited’s EV sales have nearly tripled in Q3 FY22 compared to a year ago.
According to Tata Motors, the Nexon EV and Tigor EV have been contributing the bulk of the sales in the EV segment.
Going forward, TML stressed that vehicle sales, the EV segment, in particular, will be having challenging times because of the tight supply of electronic components and a new COVID strain.
To recap, Tata Motors Limited’s vehicle wholesale data is presented in this article, and the wholesale data is different from the retail sales data.
In terms of total vehicle volume, Tata Motors Limited has managed to sail through the pandemic in FY22 and reported a total delivery figure that clocked nearly 700,000 units on a TTM basis as of Q3 FY22.
Domestic volume is taking the majority share of the company’s vehicle delivery at a ratio of more than 95%.
This ratio is the same for the company’s commercial business in which most of the vehicle sales are delivered locally instead of being exported.
Therefore, TML still relies heavily on its domestic market for vehicle sales and growth.
While Tata Motors Limited’s passenger segment was far smaller than its commercial segment in the past, it is now at the same size as that of its commercial segment in terms of vehicle volume.
In the passenger segment, TML delivered more than 300,000 ICE vehicles in 3Q FY22 compared to 12,000 electric vehicles on a TTM basis reported in the same quarter.
Overall, TML’s vehicle wholesale has been quite impressive in FY22, with nearly all segments, be it domestic or overseas market, commercial or passenger segment, reporting a sales growth.
Credits And References
1. All financial data in this article was obtained and referenced from Tata Motors’ financial statements available in Tata’s Investor Relation.
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