Car sales show mixed performance in April 2024

Overview

The provisional sales figures for April 2024 reveal a 14% month-over-month (MoM) improvement in car sales across four major assemblers, amounting to 9,661 units, which is a significant 1.6x year-over-year (YoY) increase.

Pak Suzuki (PSMC)

Pak Suzuki (PSMC) is set to achieve a 16-month high with sales reaching 6,050 units, marking a notable 48% increase MoM. This surge is driven by robust sales of the Alto and Swift models, supported by enhanced inventory availability and continuous production operations without any plant closures since December 2023.

Honda Atlas Cars (HCAR)

Conversely, Honda Atlas Cars (HCAR) is expected to experience a decline in sales, with figures estimated at 1,000 units, down by 54% MoM. This decrease is primarily attributed to reduced sales of the Civic and City models, likely influenced by the conclusion of lower markup installment plans.

Indus Motors (INDU)

Indus Motors (INDU) anticipates a 21% MoM sales increase, totaling 2,060 units in April 2024. This growth is fueled by higher demand for Corolla, Yaris, and Corolla Cross models, possibly supported by increased agricultural income following the wheat harvesting season.

Sazgar Engineering Works (SAZEW)

SAZEW‘s 4-wheeler segment reports sales of 551 units, showing a 10% MoM increase. Since entering the 4-wheeler segment in July 2021, SAZEW has sold a total of 5,991 units with a monthly average of 276 units.

SUV Sales Outlook

SUV sales are projected to reach 1,776 units in April 2024, reflecting an 11% MoM increase. Notably, Corolla Cross SUV sales are expected to surge by 74% MoM to 800 units, setting a new high since its launch this year. Additionally, Sazgar Haval SUVs contribute to the growth with 551 units sold, up by 10% MoM, driven by strong demand for hybrid electric vehicles (HEVs).

Decline in Certain SUV Models

However, sales of Hyundai Tucson, Santa Fe, and Honda HR-V SUVs are anticipated to decline during the month. The reduction in Honda HR-V sales is attributed to the termination of installment plans by the company.

Disclosure:

The information in this article is based on research by Sherman Research. All efforts have been made to ensure the data represented in this article is as per the research report. This report should not be considered investment advice. Readers are encouraged to consult a qualified financial advisor before making any investment decisions.