Lower UV sales drag M&M's Q3 show

Because of strong tractor sales, it has been able to maintain positive revenue growth

Mahindra & Mahindra (M&M)’s December quarter performance was lower than expectations, impacted by the note ban and higher commodity costs. Revenue grew by 1.16 per cent to Rs 10,587 crore as overall volumes grew 1.5 per cent, led by the farm equipment (tractors) segment. M&M sold 21 per cent more tractors in the quarter compared to the year-ago period, though utility vehicle (UV) volumes were a drag, falling about 12 per cent.

Tractors currently account for about 54 per cent of overall volumes. What has impacted M&M more than other automakers is that 60-65 per cent of its sales