Monday, November 03, 2025
By Kamal Swami
Automakers Eye Shares After Strong Festive Sales
After witnessing year-on-year (YoY) increased sales in October 2025, automakers across the country are expecting the same boost in their shares. En-cashing the benefits of consumer sentiments, alluring festive offers and increased demand in rural regions, most major automakers reported robust year-on-year (YoY) growth across passenger vehicles (PVs), two-wheelers (2Ws), commercial vehicles (CVs), and tractors.
Boom In the Passenger Vehicle Segment
Market leaders such as Maruti Suzuki, Hyundai, Mahindra & Mahindra (M&M), and Tata Motors all recorded improved sales performances during October. Maruti Suzuki reported total sales of 2.2 lakh units, up 6.8% YoY, beating estimates of 2.14 lakh units. Production also rose 8.5% to 1.92 lakh units, showcasing strong and consistent demand.
Hyundai Motor India sold 69,894 units, nearly flat YoY but still slightly above expectations of 69,000 units, maintaining its steady growth.
Tata Motors continued its momentum with domestic PV sales up 27% YoY to 61,295 units, exceeding estimates of 56,000 units.
Mahindra & Mahindra delivered an impressive 24.3% YoY jump in total auto sales to 1,20,142 units, significantly beating projections of 96,000 units. Its tractor division also performed well, growing 10% YoY to 72,021 units, driven by strong rural demand.
Two-Wheelers and Commercial Vehicles Stay on Track: Two-wheeler manufacturers benefited equally during the festive season.
TVS Motor’s total two-wheeler sales increased 10% YoY to 5.25 lakh units, while overall sales grew 11% to 5.43 lakh units, surpassing expectations.
Eicher Motors, led by Royal Enfield, matched projections with 13% YoY growth in motorcycle sales to 1.2 lakh units. Its VECV division also reported a 13% YoY rise to 8,050 units.
In the commercial vehicle category, demand remained upbeat:
Ashok Leyland recorded a 16% YoY rise in total sales to 17,820 units, exceeding expectations of 16,500.
Tata Motors’ CV division registered 10% YoY growth with 37,530 units sold, driven by higher fleet demand and pre-buying ahead of GST compliance updates.
Tractor Segment Maintains Steady Growth
Escorts Kubota continued its positive momentum with total tractor sales up 3.8% YoY to 18,798 units, slightly above expectations of 16,250. Healthy rural sentiment and improved agricultural activity supported this steady growth.
Brokerage Outlook: Optimism With a Hint of Caution
Brokerages remained optimistic about the industry’s trajectory while urging caution over sustainability.
According to Bank of America (BofA), October dispatches “drove in the fast lane,” with passenger vehicles and tractors showing notable strength. It added that FY26 could be “a year of two halves,” where sustaining momentum would be crucial.
Similarly, Jefferies termed October a “strong month for auto wholesales,” citing PV volumes up 17% YoY, tractors up 10%, and trucks up 8%. It also pointed out that retail registrations surged 52% for two-wheelers and 15% for PVs, underscoring solid consumer appetite.
Overall, October was a landmark month for India’s automotive industry. With most manufacturers outperforming expectations, the sector has entered the second half of FY26 on a high note. Robust rural demand, continued urban recovery, and sustained festive enthusiasm indicate that the wheels of India’s auto growth story are firmly in motion.
