Speedometer. Sector Gauge: June 2015 update Two-wheelers Three-wheelers Cars and UVs Commercial vehicles... 23

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1 Data Track: July 2015 volume update of auto majors Sector overview and outlook... 2 Hero MotoCorp... 3 Bajaj Auto...4 HMSI... 6 TVS Motor... 7 Maruti Suzuki...9 Mahindra & Mahindra Tata Motors Ashok Leyland Eicher Motors Sector Gauge: June 2015 update Two-wheelers Three-wheelers Cars and UVs Commercial vehicles News and developments Hyundai Creta SUV launched at a starting price of Rs 8.59 lakh.25 Maruti Suzuki to roll out YRA from Nexa outlets Auto parts industry grows 11% in Tata Motors aims to treble commercial vehicle exports to 1.5 lakh units by August 2015 Dashboard The Monthly Auto Update Speedometer July 2015 relative performance 12-month relative performance Jinesh Gandhi (Jinesh@MotilalOswal.com); Jay Shah (Jay.Shah@MotilalOswal.com); Investors are advised to refer through disclosures made at the end of the Research Report. Motilal Oswal research is available on Bloomberg, Thomson Reuters, Factset and S&P Capital.

2 Data Track Sector overview and outlook CV recovery continues, PVs to benefit from new launches before start of festive season Recovery continues in M&HCVs, while 2Ws to remain under pressure We expect demand momentum to pick up further pace in 2HFY16 on government reforms initiatives and on interest rate cycle turning favorable. Lead indicators of CV industry such as freight rates, fleet operators utilization are turning positive over the last few months. LCVs also are showing initial signs of bottoming out with degrowth moderating, passenger LCV has shown a growth of 9.5% YoY. 2W demand is slowing down, especially in rural markets, with motorcycle sales flat YoY in FY16YTD, while scooters continue grew at ~7%. Tractors (M&M) de-grew by ~15% in FY16YTD, impacted by unseasonal rains in March-15 damaging Rabi crops and concerns over normal rainfall in country. Fuel price deflation and moderating interest rate to drive PVs and CVs demand Fuel price deflation, currently at multi-year low, coupled with improving macro environment and upcoming new launches before start of festive season would help in reviving PV demand, especially for entry level cars and compact SUVs. While CV demand would be function of improvement in freight availability, however, improving fleet operators health (due to moderating cost pressures and improvement in demand) would kick start replacement cycle, which got deferred by 2-3 years. Product lifecycle key factor to off-set competitive forces Competitive intensity is expected to remain high across segments, especially in PVs and CVs, with several launches from challengers and incumbents. While volume recovery would be witnessed across segments, benefit of the same would differ from player to player depending on their product lifecycle and competitive intensity. Valuation and view Demand environment and changing competitive landscape in the auto sector would be the key determinants of stock performance. Prefer Maruti Suzuki, Bajaj Auto and Tata Motors in large caps and Ashok Leyland, Eicher Motors and TVS Motor in mid-caps. August 2015 Note: All charts source MOSL 2

3 Data Track Hero MotoCorp Below estimate, at 487,580 units (-8% YoY); Retails are higher than dispatches, as HMCL reduces very high inventory Highlights HMCL s July-15 volumes declined 8% YoY (-1 MoM) to 487,580 units (v/s est 541,519 units) impacted by focus on reducing very high inventory levels. We estimate volume growth of ~5.4% for FY16, implying residual growth of 10.6% or ~606.7k units. The retail sales of HMCL were better than wholesale, resulting in moderation in very high inventory levels. The industry expects the good monsoon and the oncoming festive season to revive sentiments and bring buoyancy in the market. Hero MotoCorp recently introduced two new motorcycles the 150cc Xtreme Sports and 100cc Passion PRO. Hero MotoCorp, with its two scooter launches could be biggest beneficiary of HMSI s capacity constraint. However, rural demand recovery would be subject to normal monsoon in FY16. The stock trades at 18.7/15.3x FY16/17 EPS of ~INR143/175. Maintain Buy. Hero MotoCorp: two-wheelers 690,000 HMCL reports 8% de-growth YoY 625, , , , ,000 Source: Company, MOSL Bloomberg HMCL IN Equity Shares (m) 200 CMP (INR) 2, Wk Range (INR) 3,272/2,252 1,6,12 Rel. Perf. 5/-2/-6 M.Cap. (USD b) 8.3 August 2015 Note: All charts source MOSL 3

4 Data Track Bajaj Auto July-15 in-line; Domestic volumes up by ~11% YoY, Exports down by 3% YoY Snapshot of volumes for July 2015 Jul-15 YoY Jun-15 MoM FY16-YTD FY15-YTD Chg FY16 estimate YoY Residual Gr. Residual Monthly Run rate FY16 YTD Monthly Run rate Total volume 330, , , ,343,260 1,307, ,220, , ,815 Motorcycles 282, , , ,157,668 1,142, ,663, , ,417 Three-Wheelers 47,798 51, , , , , ,358 46,398 Domestic 165, , , , , ,249, , ,519 Exports 164, , , , , ,970, , ,297 Source: Company, MOSL Highlights BJAUT s July-15 sales in-line at 330,231 units (v/s est 337,510), up by 3.4% YoY (flat MoM). We estimate overall volumes to grow by ~11% in FY16, implying ~15% residual growth or ~359,598 units. Domestic volumes at ~165,541 units (v/s est 177,591 units), a growth of ~11% YoY (-5.5% MoM). Exports de-grew ~3% YoY to ~164,690 units (v/s est 159,919 units), led by normalization of demand in Nigeria and Sri-Lanka. Motorcycle volumes grew by ~5.4% YoY (-2% MoM) to 282,433 units (v/s est ~290,714 units). We estimate 11.3% growth in FY16, implying ~16.6% residual growth or ~313,240 units. 3W volumes de-grew 7.1% YoY (+9.3% MoM) to 47,798 units (v/s est 46,796 units). We estimate 7.2% growth in FY16, implying ~4.7% residual growth to 46,358 units. The stock trades at 19.3x/15x FY16E/17E EPS. Maintain Buy. Bloomberg BJAUT IN Equity Shares (m) CMP (INR) 2, Wk Range (INR) 2690/1914 1,6,12 Rel.Perf. 10/3/0 M.Cap. (USD b) 11.4 August 2015 Note: All charts source MOSL 4

5 Two-wheeler volumes (units) 375,000 Motorcycle volume recovery underway driven by new launches in domestic and exports normalizing 310, , ,000 Three-wheeler volumes (units) 59,000 3W volumes decline YoY 52,000 45,000 38,000 31,000 24,000 Export volumes (units) 200,000 Exports de-grew by 3% YoY 160, ,000 80,000 Market mix 10 Domestic Exports Share of exports stable 5 Jul-15 August 2015 Note: All charts source MOSL 5

6 Data Track HMSI Capacity constraint to restrict growth in FY16 to 6% Scooters have been the key growth driver of volumes Highlights HMSI s July-15 volumes grew ~2.2% to ~389k units, with scooters growing 2 YoY to 259.3k and motorcycles declining ~24.3% to 112k. HMSI s capacity constraint would restrict its growth in FY16, also reflecting in its guidance of ~6% for FY16. HMSI: Monthly volume trend 525, , , , , ,000 75,000 - August 2015 Note: All charts source MOSL 6

7 Data Track TVS Motor Below estimate, with total volumes of 218k (v/s est 228k); Domestic volumes declined 1%, exports grew by 15% Snapshot of volumes for July 2015 Jul-15 YoY chg Jun-15 MoM chg FY16-YTD FY15-YTD chg FY16 estimate Gr. Residual Gr. Residual Monthly Run rate FY16 YTD Monthly Run rate Total volume 218, , , , , ,912, , ,109 Motorcycles 77,397 80, , , , ,236, ,003 83,092 Scooters 69,626 63, , , , , ,405 58,667 Mopeds 61,021 61, , , , , ,059 62,223 Three-Wheelers 10,277 8, , ,506 33, , ,533 10,127 Domestic 175, , , , , ,389, , ,678 TVS Motor aims 18% market share and double digit margins over next three years Highlights TVS Motor s July-15 sales were below estimate at 218,321 units (v/s est 227,980 units), a growth of ~2% YoY (-2% MoM). We estimate overall volume growth of ~15% in FY16, implying residual growth of ~18.5% or run-rate of ~257k units. Scooters volumes grew 1 YoY to 69,626 units (v/s est 62,134 units). We estimate 6% growth in scooters volumes in FY16, implying residual growth of 5% or 64,405 units. Motorcycle volumes de-grew by 4% YoY to 77,397 units (est 92,120 units). We estimate ~29% growth in Motorcycles in FY16 implying residual growth rate of ~39% or 113k units. Mopeds decline 1% YoY to 61,021 units (est 62,416 units). 3Ws grew by 15% YoY to 10,277 units (est 11,309 units). We estimate ~22.5% growth in 3Ws in FY16 implying residual growth rate of ~24% or 11,533 units. Exports grew by ~15% YoY growth to 42,677 units (est 43,991 units). The stock trades at 24.3x/14.5x FY16E/FY17E EPS of ~INR9.8/INR16.4. Maintain Buy. Bloomberg TVSL IN Equity Shares (m) Week Range (IN 322/145 1,6,12 Rel. Perf. -4/-19/53 M.Cap. (INR b) M.Cap. (USD b) 1.8 TVS Motor Company Ltd: Valuation summary Year Net Sales PAT EPS EPS P/E P/BV RoE RoCE EV/ End (INR m) (INR m) (INR) Gr. (X) (X) EBITDA 03/14A 79,619 2, /15A 100,982 3, /16E 122,370 4, /17E 149,780 7, August 2015 Note: All charts source MOSL 7

8 Motorcycle volumes (units) 110,000 Motorcycle de-grew by ~4% YoY 98,000 86,000 74,000 62,000 50,000 Scooters and mopeds (units) 150, ,000 Strong growth continues 114,000 96,000 78,000 60,000 Sales mix 10 5 Motorcycles Scooters & Mopeds Jul-15 August 2015 Note: All charts source MOSL 8

9 Data Track Maruti Suzuki July-15 above estimates, with ~2 YoY growth; Inventory at 5 weeks, build-up started for upcoming festive season Snapshot of volumes for July 2015 Jul-15 YoY Jun-15 MoM FY16-YTD FY15-YTD Chg FY16 estimate YoY Residual Gr. Residual Monthly Run rate FY16 YTD Monthly Run rate Total volume 121, , , , , ,482, , ,760 Domestic 110,405 90, , , , ,343, , ,025 C (Vans) 11,887 11, , ,023 40, A2 (Compacts) 66,883 53, , , , A3 (Sedan) 24,719 18, , ,502 70, UV (Ertiga) 6,916 5, , ,466 20, Export 11,307 11, , ,942 40, , ,495 11,736 Source: Company, MOSL Highlights July-15 wholesale volumes grew ~2 YoY (+6% MoM) to ~121,712 units (v/s est 114,756 units), driven by ~22.5% growth in domestic volumes and ~flat exports. We estimate ~14% growth in FY16, implying ~13.6% residual growth or ~127,308 units residual run-rate. Domestic retails grew 3% YoY at ~87.5k units. Inventory at 5 weeks (vs <4 weeks at end of Jun-15). Inventory building started for festive, starting from Kerala. Domestic volumes grew ~22.5% YoY to ~110,405 units (v/s est 105k units). We estimate ~14% growth in FY16 in domestic volumes implying 13.6% residual growth or ~116k/month of run-rate. A2 segment (Alto, Wagon-R, Swift, Celerio, Ritz etc) grew by ~24% YoY (+7% MoM). Sedan segment, despite higher competitive intensity, grew ~31% YoY (+2.6% MoM), driven by Ciaz (launched in ). UV segment grew ~23% YoY, benefitting from S-Cross wholesales (of ~1.5k) for August 5th launch. Exports were flat YoY to ~11,307 units (v/s est 11,500). We estimate export volume growth of ~14%, implying residual run-rate of ~11.5k units. MSIL should continue to do out grow industry driven by several new products launches planned in new segments (premium hatchback, crossover, compact SUV etc). The stock trades at 24.3x/17.3x FY16E/17E consolidated EPS of ~INR178/251. Maintain Buy. Bloomberg MSIL IN Equity Shares (m) CMP (INR) 4, Wk Range (INR) 4,360/2,504 1,6,12 Rel.Perf. 6/21/63 M.Cap. (USD b) 20.6 Maruti Suzuki: Financial & Valuation Summary Year Total Inc. PAT Con. EPS EPS Con. P/E P/CE P/BV EV/ RoE RoCE End (INR m) (INR m) (INR) Gr. (x) (x) (X) EBITDA 3/14A 437,084 26, /15A 499,706 37, /16E 585,205 52, /17E 728,730 74, August 2015 Note: All charts source MOSL 9

10 Monthly volumes (units) 140,000 Strong growth momentum continues for MSIL 115,000 90,000 65,000 40,000 Export volumes (units) 20,000 Exports were flat YoY 15,000 10,000 5,000 0 Market mix 10 5 Domestic Sales Exports Jul-15 August 2015 Note: All charts source MOSL 10

11 Data Track Mahindra & Mahindra July-15 below estimate, with 5% de-growth; Autos in-line, Tractors continue to disappoint Highlights July-15 volumes de-grew by 5% YoY to ~50,112 units (v/s est 55,741 units), impacted by ~11% YoY de-growth in tractors and ~2% de-growth in UVs (incl pick-ups). We estimate growth of ~15% in FY16, implying 26% residual growth or ~72,398 units. Tractor volumes declined by 11% YoY to 15,460 units (v/s est 18,277 units). We are assuming 6% growth in volumes for FY16, implying a residual growth of ~16.5% or 21,281 units. UV (incl pick-ups) de-grew by 2% YoY to 29,030 units (v/s est 30,983 units). We estimate 21% growth in FY16 for UVs driven by new product launches (3 new platforms and 3 major upgrades), implying residual monthly run-rate of 44,791 units. Speaking on the monthly performance, Pravin Shah, Chief Executive, Automotive Division, M&M. said, "While the auto industry is currently seeing muted growth, we do believe that the launch of some exciting new products will help it turn the tide. In addition, with the advent of a good monsoon till date and reduction in fuel prices, we expect sentiments to improve, leading to overall growth in auto sales. Commenting on the monthly performance, Rajesh Jejurikar, President & Chief Executive, Farm Equipment and Two Wheeler Division, Mahindra & Mahindra Ltd. said, "Owing to the advent of a good monsoon across India, sowing has begun in full earnest which should improve market sentiments going forward." While tractor is undergoing cyclical pressure, UV business is witnessing structural challenges. Based on our current estimates, the stock trades at 18.2x/13.7x FY16E/17E consolidated EPS. Maintain Neutral. Bloomberg MM IN Equity Shares (m) CMP (INR) 1, Wk Range (INR) 421/1,106 1,6,12 Rel.Perf. 5/8/5 M.Cap. (USD b) 12.7 Mahindra and Mahindra: Financial & Valuation Summary Year Net Sales S/A PAT * S/A EPS * Cons. Con. EPS P/E Cons. RoE RoCE EV/ EV/ End (INR m) (INR m) (INR) EPS (INR) Gr (x) P/E (x) Sales (x) EBITDA 3/14A 405,085 38, /15A 389,454 31, /16E 455,300 38, /17E 539,606 47, * S/A including MVML August 2015 Note: All charts source MOSL 11

12 Utility vehicle volumes (units) 48,000 UV volumes continues to be under pressure 39,000 30,000 21,000 12,000 Tractor volume (units) 44,000 Tractors volumes decline YoY 36,000 28,000 20,000 12,000 4,000 Product mix 10 UVs Tractors LCVs, 3-wheelers Cars Tractors and UVs dominate the segment mix 5 Jul-15 August 2015 Note: All charts source MOSL 12

13 Data Track Tata Motors July-15 below estimate, at ~40,154 units (v/s est 42,380); LCV continue to disappoint Snapshot of volumes for July 2015 Jul-15 YoY Jun-15 MoM FY16-YTD FY15-YTD Chg FY16 estimate YoY Residual Gr. Residual Monthly Run rate FY16 YTD Monthly Run rate Total volume 40,154 39, , , , , ,275 39,166 HCV's 13,661 11, , ,761 41, , ,056 12,690 LCV's 15,729 18, , ,934 72, , ,598 15,734 Cars 8,795 6, , ,880 26, , ,262 8,970 UV's 1,969 2, , ,089 8, , ,359 1,772 of which exports 5,078 4, , ,319 9, LCV & UVs volumes remains under pressure Highlights Tata Motors July-15 sales volumes grew ~1% YoY to 40,154 units (v/s est 42,380 units). We estimate overall volume growth of ~21% in FY16, implying residual growth of ~28% or run-rate of ~56.3k units. HCV sales (incl exports) grew 21% YoY 13,661 units (est 13,568 units). We estimate ~26% HCV growth in FY16, implying 27% residual growth or run-rate of ~16,056 units. LCV sales (incl exports) declined 16% YoY (-7% MoM) to 15,729 units (est ~17,839 units). We estimate growth of 21% in LCVs in FY16, implying residual run-rate of ~25,598 units. Car sales (incl exports) witnessed robust growth of 27% YoY (flat MoM) to 8,795 units (est 9,034 units). Recently launched Zest (compact sedan) and Bolt has received encouraging response after launch. We estimate growth of 2 in passenger cars in FY16, implying 14% residual growth or ~12,262 units. UV sales (incl exports) were at 1,969 units (est 1,939 units), a de-growth of 24% YoY. We estimate 1.4% UV growth in FY16, implying residual run-rate of 2,359 units. The stock trades at 7.3x/6.2x FY16E/17E consol. EPS respectively. Maintain Buy. Bloomberg TTMT IN Actual Eq. Sh (m) 3,395.9 CMP (INR) Week Range (INR) 606/366 1,6,12 Rel. Perf. 13/-29/-22 M.Cap. (USD b) 20.5 August 2015 Note: All charts source MOSL 13

14 M&HCV volumes (units) 22,000 Volumes to improve further with economic activity picking up 16,000 10,000 4,000 LCV volumes (units) 48,000 LCV volumes continue to remain weak on financing constraints 40,000 32,000 24,000 16,000 8,000 Car volumes (units) 23,000 17,000 11,000 5,000 Product mix in the CV segment 10 5 LCVs M&HCVs Jul-15 August 2015 Note: All charts source MOSL 14

15 Data Track Ashok Leyland July-15 in-line, with 41% YoY growth; M&HCV continues to grow at 53.5% YoY and LCVs grew at 5% YoY Snapshot of volumes for July 2015 Jul-15 YoY Jun-15 MoM FY16-YTD FY15-YTD Chg FY16 estimate YoY Residual Gr. Residual Monthly Run rate FY16 YTD Monthly Run rate Total volume 11,022 7, , , , ,893 9,803 CV (ex LCV) 8,803 5, , , , ,902 7,573 LCV (Nissan JV) 2,219 2, , , , ,991 2,230 Source: Company, MOSL Highlights Ashok Leyland reported sales volume growth of 41% YoY (5% MoM) in July-15 sales volumes to 11,022 units (est 10,564 units). We estimate ~28% growth in FY16, implying 23.4% residual growth or ~11,893 units. MHCV volumes grew 53.5% YoY to 8,803 units (v/s est 8,030 units). Management has indicated 15-2 growth for the company in FY16, based on 10-15% industry growth. We estimate 28% growth in FY16, implying residual growth of 21% or ~8,902 units. LCVs (Dost & Stile) continues to be on recovery path with a growth of 5% YoY (- 8% MoM) to 2,219 units (v/s est 2,533 units). We estimate ~28% growth in LCVs volumes for FY16 implying residual growth rate of 3 or ~2,991 units. The stock trades at 24.1x/13.7x FY16E/FY17 EPS. Maintain Buy. Trend in M&HCV voulmes (units) 11,000 8,000 5,000 2,000 Source: Company, MOSL Bloomberg AL IN Equity Shares (m) 2,845.8 CMP (INR) Week Range 86/33 1,6,12 Rel. Perf. 15/29/139 M.Cap. (INR b) 240 M.Cap. (USD b) 3.8 August 2015 Note: All charts source MOSL 15

16 Data Track Eicher Motors July-15: Royal Enfield above estimates, VECV disappoints; RE ramp-up on track Snapshot of volumes for July 2015 Eicher Motors Jul-15 YoY chg Jun-15 YOY MOM YTD YTD MoM chg CY15-YTD CY14-YTD chg CY15 estimate Royal Enfield 40,760 27, , , , , ,677 34,199 VECV 3,652 3, , ,276 24, , ,367 3,754 Domestic LMD 1,635 1, , ,890 11, , ,173 1,699 Domestic HD ,170 3, , Domestic Buses , ,408 6, , ,058 Total Domestic 3,050 2, , ,468 20, , ,763 3,353 Exports ,808 3, , Royal Enfield is targeting sales ~450,000 units in CY15 Highlights YoY chg Residual Growth Residual Monthly Run rate CY15 YTD Monthly Run rate Royal Enfield volumes grew ~49% YoY to ~40,760 units (v/s est ~38,341 units). We estimate ~53% growth in RE volumes, implying 63% residual growth or runrate of ~44,677 units. VECV s overall volumes grew ~9% YoY to 3,652 units (v/s est. 3,962 units). Domestic sales were below estimate at 3,050 units (v/s est ~3,421), as both Bus and LMD disappoints. LMD volumes grew ~1% YoY to 1,635 units (v/s est 1,730 units), whereas buses volumes de-grew 5% YoY to 815 units (v/s est 1,114 units). HD volumes were up by YoY to 600 units (v/s est 577 units). We estimate domestic CV volumes to grow 21% in CY15, implying 41% residual growth or ~4,367 units run-rate. Exports grew ~56% YoY (+14% MoM) to ~602 units (v/s est ~540 units). We estimate flat export volumes in CY15, implying residual growth of ~29% or runrate of 603 units. The stock trades at 52.1x/30x CY15E/CY16E EPS of INR366/637 respectively. Maintain Buy. VECV volumes showing recovery signs (YoY) Royal Enfield volumes continues to show strong growth CY12 CY13 CY14 CY15 CY12 CY13 CY14 CY15 6,500 40,000 32,000 5,000 24,000 3,500 16,000 8,000 2,000 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Bloomberg EIM IN Equity Shares (m) Week Range (INR) 20,618/8,386 1,6,12 Rel. Perf. -4/22/116 M.Cap. (INR b) M.Cap. (USD b) 8.1 Source: Company, MOSL Source: Company, MOSL Eicher Motors: Financial & Valuation Summary Year Net Sales PAT EPS EPS P/E P/BV RoE RoCE EV/EBITDA Div. Yld End (INR b) (INR b) (INR) Gr (x) (x) (x) 12/13A /14A /15E /16E E: MOSL Estimates August 2015 Note: All charts source MOSL 16

17 Sector Gauge Two-wheelers Rural demand takes toll on Motorcycle sales, Scooters continue to grow Two-wheelers: Volume snapshot Jun-15 Jun-14 YoY MoM FY16-YTD FY15-YTD Chg Total Domestic 2W 1,284,301 1,261, ,381, ,952,765 3,949, % of Total 2W Total Motorcycle 854, , , ,689,810 2,766, % of Domestic 2W <125cc 705, , , ,199,974 2,272, % of Motorcycle >125cc 148, , , , , % of Motorcycle Scooters & Mopeds 430, , , ,262,955 1,182, % of Domestic 2W Exports 228, , , , , % of Total 2W Total 2W 1,512,359 1,443, ,593, ,577,304 4,539, Source: Company, MOSL Two-wheelers: Domestic volume trend (units) Demand momentum continues to remain weak 1,800,000 1,600,000 1,400,000 1,200,000 1,000, , ,000 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Domestic market share in 2-wheelers 10 Hero MotoCorp Bajaj Auto HMSI Yamaha TVS Motor Market share for BJAUT improves with CT-100 launch 5 August 2015 Note: All charts source MOSL 17

18 Motorcycles: domestic volume trend 1,200,000 1,000,000 Pressure in entry level Motorcycle segment due to slowdown in rural demand 800, , ,000 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Motorcycles: domestic market share 10 Hero MotoCorp Bajaj Auto HMSI Yamaha TVS Motor BJAUT gains market share on CT-100 launch 5 Two-wheelers: Product mix 10 Motorcycle Scooters & Mopeds Scooters market share > 5 Exports showing signs of recovery Two-wheelers: export volumes (units) 250, , , , , , ,000 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar August 2015 Note: All charts source MOSL 18

19 Sector Gauge Three-wheelers Growth in domestic 3W to revive post new permits that will open up in August 2015 Three-wheelers: Volume snapshot Jun-15 Jun-14 YoY MoM FY16-YTD FY15-YTD Chg Total Domestic 3W 43,875 47, , , , % of Total 3W Passenger 36,116 39, , ,926 98, % of Domestic ew Total Goods 7,759 7, , ,974 22, % of Domestic 3W <1T 7,569 7, , ,560 21, % of Goods Vehicle >1T % of Goods Vehicle Exports 43,875 30, , ,041 94, % of Total 3W Total 3W 87,750 77, , , , Source: SIAM/MOSL Three-wheelers: volume trend (including exports) 104,000 3Ws to grow at healthy rate on new permits 92,000 80,000 68,000 56,000 44,000 32,000 Three-wheelers: domestic segment mix 10 Passenger Goods Passenger segment dominates three-wheelers with over contribution 5 August 2015 Note: All charts source MOSL 19

20 Three wheelers: passenger segment market share 10 Bajaj Auto Piaggio M&M TVS Others Bajaj Auto continues to dominate passenger segment 5 Three wheelers: goods segment market share 10 Bajaj Auto Piaggio M&M Others Piaggio continues to lead in the goods segment 5 August 2015 Note: All charts source MOSL 20

21 Sector Gauge Cars and UVs New model launches to drive demand momentum for the upcoming festive season Passenger vehicles: Volume snapshot Jun-15 Jun-14 YoY MoM FY16-YTD FY15-YTD Chg Total Domestic PVs 217, , , , , % of Total PVs Total Cars 162, , , , , % of Domestic PVs A1 & A2 132, , , , , % of Cars A3 27,105 34, , ,767 71, % of Cars A4 & above 2,913 3, , ,209 8, % of Cars UVs 41,278 43, , , , % of Domestic PVs MPVs 13,687 14, , ,906 42, % of Domestic PVs Exports 40,343 51, , , , % of Total PVs Total PVs 257, , , , , Source: SIAM/MOSL Cars: domestic volume (units) 200,000 Domestic Car volumes continue to grow 160, ,000 80,000 UVs & MPVs: domestic volume (units) 106,000 UVs and MPVs continue to face pressure 76,000 46,000 16,000 August 2015 Note: All charts source MOSL 21

22 Exports under pressure Passenger vehicles: export volume (units) 74,000 65,000 56,000 47,000 38,000 29,000 20,000 Cars: domestic market share 10 Maruti TataMotor Hyundai GM Honda MSIL market share steady 5 UVs: domestic market share M&M TataMotor Toyota Maruti GM 10 M&M maintains market share in UVs 5 Passenger vehicles: segment mix 10 A1 A2 A3 A4 & above MPV UV A2 dominates the passenger vehicles segment 5 August 2015 Note: All charts source MOSL 22

23 Sector Gauge Commercial vehicles M&HCV registers robust growth, LCV goods continue to remain weak Commercial vehicles: Volume snapshot Jun-15 Jun-14 YoY MoM FY16-YTD FY15-YTD Chg Total Domestic CVs 51,372 50, , , , % of Total CVs Total M&HCV 22,184 18, , ,210 51, % of Domestic CVs Goods 17,990 14, , ,575 40, % of M&HCVs Passenger 4,194 3, , ,635 11, % of M&HCVs Total LCVs 29,188 32, , ,886 90, % of Domestic CVs Goods 23,864 27, , ,821 77, % of LCVs Passenger 5,324 4, , ,065 13, % of LCVs Exports 8,330 6, , ,302 18, % of Total CVs Total CVs 59,702 57, , , , Source: SIAM/MOSL M&HCVs: Domestic volume - goods (units) 32,000 M&HCVs Goods demand to be led by economic recovery 24,000 16,000 8,000 0 M&HCVs: domestic volume - buses (units) 7,500 6,000 M&HCVs Passenger shows initial signs of recovery 4,500 3,000 1,500 0 August 2015 Note: All charts source MOSL 23

24 LCVs: domestic volumes (units) 60,000 LCVs continue to face pressure 50,000 40,000 30,000 20,000 LCVs: domestic market share 10 TataMotor Piaggio M&M Others Tata Motors lose market share in LCV down cycle 5 Goods: segment-wise break-up 10 LCVs <12T <16T <35T 5 August 2015 Note: All charts source MOSL 24

25 News and Events Major developments in the auto sector Hyundai Creta SUV launched at a starting price of Rs 8.59 lakh Hyundai Motors on Tuesday introduced its much awaited compact SUV, Creta, pitting it against Renault's Duster and Mahindra's Scorpio with more features and an attractive starting price tag of Rs 8.59 lakh. For Detailed Article please click on below link: vehicle/uvs/hyundai-creta-suv-launched-at-a-starting-price-of-rs lakh/articleshow/ cms Maruti Suzuki to roll out YRA from Nexa outlets After the S-Cross crossover, Maruti Suzuki will launch another premium compact car, codenamed YRA, through the company's top-end retail outlets Nexa. Auto parts industry grows 11% in , highest in four years India's auto component industry grew 11% in , clocking its highest jump in four years, to post a turnover of Rs 2.34 lakh crore, aided by rising demand from the domestic market and overseas buyers in the US and Europe. The industry, which suffered a 2% decline in , surged in line with a rise in sales of passenger vehicles (4%), commercial vehicles (16%) and two-wheelers (8%) For Detailed Article please click on below link: For Detailed Article please click on below link: Tata Motors aims to treble commercial vehicle exports to 1.5 lakh units by 2019 Tata Motors, India s biggest commercial vehicle (CV) manufacturer, is targeting to nearly treble its exports to about 1.5 lakh units in the next 3-4 years. For Detailed Article please click on below link: August 2015 Note: All charts source MOSL 25

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