Tata Motors' sales decline 8.5 pc in Q1 FY26, Mahindra reports 18 pc SUV growth

Mumbai, July 1 (IANS) Tata Motors on Tuesday reported an 8.47 per cent decline in total sales as the carmaker sold 2,10,415 units in the April-June quarter of FY26, compared to 2,29,891 units sold during the same period previous year (Q1 FY25).

Both commercial and passenger vehicle segments saw a drop in numbers. Commercial vehicle sales stood at 85,606 units, down 6 per cent year-on-year (YoY), while passenger vehicle sales dropped 10 per cent to 1,24,809 units.

Domestic sales for Tata Motors in June 2025 also fell 12 per cent compared to June 2024.

However, the company saw some bright spots. International business in the commercial vehicle segment grew strongly, with a 68 per cent increase in sales.

Tata Motors Executive Director Girish Wagh said that the first quarter began slowly for the commercial vehicle industry, especially in the heavy and small commercial vehicle segments.

"But there was some sequential improvement in June, and the company remains optimistic due to a favourable monsoon forecast, expected rate cuts, and growing infrastructure development," he added.

Tata Motors MD Shailesh Chandra said the company expects to build momentum with its new launches and expanding EV portfolio, despite the overall subdued industry outlook.

In the passenger vehicle segment, Tata Motors sold 1,24,809 units in Q1 FY26, including 16,231 electric vehicles.

Although total passenger vehicle sales dropped 10 per cent YoY, EV sales showed signs of recovery towards the end of the quarter.

The company said its refreshed Tiago model saw a 16 per cent YoY growth, and new launches such as the Altroz and Harrier.ev were received well.

Another leading carmaker, Mahindra & Mahindra, reported a strong performance in June 2025.

The company sold 78,969 vehicles during the month, including exports, marking a 14 per cent growth compared to June 2024.

In the SUV segment alone, Mahindra sold 47,306 units in the domestic market, a growth of 18 per cent.

This helped the company end the quarter on a high note, with its highest-ever SUV sales in a single quarter.

Mahindra also saw a 36 per cent rise in exports during the April-June period.

Mahindra’s Automotive Division CEO Nalinikanth Gollagunta said that the company’s focus on delivering value to customers has driven its strong growth, and it remains confident about the coming quarters.

--IANS

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