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Sales Continues To Falls for Tata Motors in Q4 FY25

2025-04-01  Niranjan Ghatule  
Sales Continues To Falls for Tata Motors in Q4 FY25

Tata Motors has released its sales performance report for Q4 FY25, showcasing the company’s resilience in an evolving automotive market. The total sales for the quarter stood at 252,642 units, reflecting a decline compared to the 265,090 units recorded in the same quarter of the previous fiscal year.

Commercial Vehicle Sales Overview

The commercial vehicle segment reported total sales of 105,643 units in Q4 FY25, marking a 3% decline year-over-year. However, certain categories within the segment demonstrated positive growth. The Intermediate and Light Medium Commercial Vehicles (ILMCV) segment recorded a 9% increase in quarterly sales. Additionally, passenger carriers experienced a 4% growth, reflecting an increased demand in public and private transport sectors.

Conversely, heavy commercial vehicles (HCV) remained stable, while the small commercial vehicle (SCV) cargo and pickup segment faced a 17% decline in sales. The company attributes these shifts to fluctuating demand trends and market conditions.

Tata Motors’ Executive Director, Girish Wagh, emphasized the company’s commitment to sustainable transportation. Tata Motors is leading the industry with initiatives such as India's first hydrogen-powered heavy-duty truck trials and an e-bus fleet that has collectively covered over 30 crore kilometers nationwide.

Looking ahead, Tata Motors expects demand in the commercial vehicle segment to be driven by increased fleet utilization, lower crude oil prices, and infrastructure development projects. The company also remains cautious about the impact of new regulations, such as the mandatory truck cabin air conditioning requirement, on vehicle pricing.

Passenger Vehicle Sales Performance

The passenger vehicle (PV) segment reported total sales of 146,999 units in Q4 FY25, reflecting a 6% year-over-year decline. Despite the overall slowdown, SUVs continued to dominate the market, accounting for approximately 55% of new car sales. The company noted a significant 35% increase in demand for CNG vehicles, indicating a growing consumer preference for environmentally friendly fuel alternatives.

Sales of electric vehicles (EVs) declined by 23%, a trend that Tata Motors attributes to various market factors, including evolving consumer preferences and industry-wide adjustments. However, the company remains optimistic about the future of EVs, with an expanding ecosystem and increasing participation from industry players to support sustainable mobility solutions.

Tata Motors Passenger Vehicles Managing Director, Shailesh Chandra, highlighted the company’s achievements in FY25, including surpassing 6 million cumulative sales for passenger vehicles and reaching the 200,000 mark for EV sales. Models such as the Tata Punch emerged as market leaders, reinforcing the company’s strong position in the SUV segment.

Looking forward to FY26, Tata Motors anticipates moderate growth in the passenger vehicle industry, driven by macroeconomic factors such as consumption growth, infrastructure spending, and inflation trends. The company remains committed to innovation and customer-centric solutions, with upcoming launches across multiple powertrain options, including SUVs, CNG, and electric vehicles.

Tata Motors’ Q4 FY25 performance reflects both challenges and opportunities in the automotive sector. While overall sales declined slightly, specific segments, such as ILMCV and passenger carriers, saw positive growth. With a strategic focus on sustainability, innovation, and expanding product offerings, Tata Motors is well-positioned to navigate the evolving market landscape and drive future growth.

Disclaimer

This article is for informational purposes only and is based on Tata Motors’ official sales report for Q4 FY25. The data and insights presented here should not be construed as financial or investment advice. Readers are encouraged to conduct their own research or consult with a professional before making any financial decisions related to Tata Motors or the automotive industry.


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