Ashok Leyland, flagship of the Hinduja Group, improved its market share in the medium and heavy commercial vehicle (M&HCV) segment in 2014-15 with domestic sales of 66,442 vehicles. The company said this was possible mainly due to an enhanced product range with market leaders like 3718, Boss, Captain and JanBus, as well as continued network expansion across the country, despite the downturn.
Further, a renewed focus on customer and network profitability, new service products like AMC, insurance and extended warranty, and vast service network helped Ashok Leyland improve its performance.
“It’s been a very gratifying year. All our efforts towards the transformation of the company in terms of pruning costs, rationalising overheads, reducing working capital, and at the same time investing smartly in new products and network are paying off. The industry has turned the corner and so have we. I am confident that coming years will see us build on this momentum,” Vinod K. Dasari, Managing Director, Ashok Leyland, said.
While total industry volume in LCV dropped, the company retained its domestic market share in the 2.5T LCV segment on the back of the Dost Strong. The company won many tenders in defence vehicles, both domestic and international markets, while exports of M&HCV vehicles increased 32 per cent.
“Significant successes in export markets, a well-diversified product portfolio and a range of business verticals help us manage the cyclicality of the CV business.,” Dasari said.
Volvo Group has sold its remaining holding in automotive manufacturer Eicher Motors Ltd. The sale corresponds to 1,005,610 shares with a total value of approximately SEK 2.2 billion. The divestment of shares has no effect on ownership or the development of the long-standing joint venture, VE Commercial Vehicles. The sale will have a positive impact on Volvo Group’s cash flow after net investments and net financial debt in a corresponding amount in the second quarter of 2015. The sale will also generate a capital gain of approximately SEK 2.1 billion, which will impact operating income in the Trucks segment in the second quarter of 2015. “India is a key market and the Volvo Group will continue to focus on developing and strengthening VECV as part of the Group’s strategy to expand in Asia and in other emerging markets,” a company release said.
Scania Commercial Vehicles India Pvt. Ltd, a leading commercial vehicles and engines manufacturer, displayed ethanol engines for the first time in India at the Busworld 2015 Exposition held in Mumbai recently. The company also showcased its premium range of Metrolink 13.7 m coach and ethanol-powered Green Bus. Busworld also served as the venue for the delivery of Scania’s 13.7 m premium Metrolink coaches to Kaushik Logistics, Hebron Transports and Transit Logistics. Kaushik Global Logistics will ply, service and manage the buses for Uttar Pradesh State Road Transport Corporation, paving the way for Scania’s entry into north India.
Tata Motors continued to witness strong growth in certain key segments in May 2015, as passenger cars (excluding UVs), M&HCV and Exports grew by 32 per cent, 17 per cent and 47 per cent, respectively, year-on-year. In commercial vehicles, M&HCV sales showed growth at 10,788 units, higher by 17 per cent, over May 2014. The light and small commercial vehicle sales, however, continued to reflect the industry decline and were at 12,892 numbers, a decline of 19 per cent over May 2014. These impacted the overall commercial vehicles sales for the company in May 2015 in the domestic market that were at 23,680 units, a decline of 6 per cent, over May 2014. Cumulative sales of commercial vehicles in the domestic market for the fiscal was 45,809 numbers, lower by 2 per cent over last year.