Maruti Suzuki posts nearly 14% drop in June sales

Maruti Suzuki India has reported nearly 14% decline in total sales for the June month.

The company's total sales during the month dropped 13.9% to 98,840 units as against 114,756 units in June 2015, Maruti Suzuki India (MSI) said in filing to the Bombay Stock Exchange (BSE) on Friday. 

Its total domestic sales also plunged 10.2% to 92,133 units during the period as compared to 1,02,626 units in June 2015. 

Moreover, the largest passenger car maker in the country had witnessed a fall in its total exports sales during the month.  Its total export sales declined 44.7% to 6,707 units in June this year as against 12,130 units in June last year.  

However,  Maruti Suzuki has managed to post a growth of over 2% in its total sales for the April-June quarter of 2016 despite the disruption in its production in June month due to fire that took place at its key vendor Subros' Manesar plant in May this year.  

The company's total sales during the quarter rose up 2.08% to 348,443 units as against 341,329 units in the same period of last fiscal, cited the release. 

The rise in its total sales during the quarter came primarily came from sales of its utility vehicles such as Gypsy, Ertiga, S-Cross, Vitara Brezza. The sales of utility vehicles reported a healthy growth of 153% in April-June period. 

"The growth in sales in the quarter is despite the disruption in production during June 2016, due to the unfortunate incident of fire at Subros, a key vendor of the company. The company expects to recover the production loss during the course of the year," MSI said in a statement. 

At 13:20 hours, the shares of Maruti Suzuki India were trading down 0.55% or Rs 23.20 at Rs 4,161. 95 per scrip on the BSE.