Mahindra & Mahindra lost 3.34% to Rs 881.70 at 13:03 IST on BSE after the company said its total auto sales declined 21% to 37,096 units in July 2013 over July 2012.
The company announced July auto sales numbers during trading hours today, 1 August 2013.
Meanwhile, the S&P BSE Sensex was up 45.20 points or 0.23% at 19,390.90.
On BSE, 55,000 shares were traded in the counter as against average daily volume of 1.42 lakh shares in the past one quarter.
The stock hit a high of Rs 922.50 and a low of Rs 878.20 so far during the day. The stock had hit a record high of Rs 1,026.45 on 20 May 2013. The stock had hit a 52-week low of Rs 681.55 on 3 August 2012.
The stock had underperformed the market over the past one month till 31 July 2013, sliding 5.63% compared with the Sensex's 0.26% fall. The scrip had also underperformed the market in past one quarter, declining 1.18% as against Sensex's 0.81% fall.
The large-cap utility vehicles and tractors maker has equity capital of Rs 307.94 crore. Face value per share is Rs 5.
Mahindra & Mahindra's (M&M) sales of Passenger Vehicles segment (which includes the UVs and Verito) declined 29% to 15,530 units in July 2013 over July 2012. Domestic sales fell 19% to 34,490 units in July 2013 over July 2012. Sales of four-wheeler commercial segment which includes passenger and load vehicles dropped 6.4% to 13,740 units while the three-wheeler segment's sales declined 12.7% to 4,490 units in July 2013 over July 2012. Exports slumped 38.8% to 2,606 units.
Speaking on the monthly performance, Pravin Shah, Chief Executive, Automotive Division, M&M said, "Over the last few months, the auto industry has been going through one of its worst phases of the last decade with planned shutdowns being taken by companies to correct demand-supply mismatch. The industry is in desperate need for an immediate stimulus from the government. With interest rates remaining unchanged and the rupee plunging to new lows, lowering of excise duty is the need of the hour which will rev up demand for auto products, leading up to the festive season".
Also, M&M announced its July tractor sales data during trading hours today. M&M's total tractor sales rose 12% to 18,469 units in July 2013 over July 2012. Domestic sales grew 15% to 17,771 units while exports declined 32% to 698 units in July 2013 over July 2012.
Speaking on the monthly performance, Rajesh Jejurikar, Chief Executive, Tractor and Farm Mechanization, M&M said, "The second quarter of FY 2014 has begun well and we are happy with our domestic volume of 17,771 units and 15% growth achieve in July 2013. The monsoon this year has been normal, which augurs well for the farm sector. A revival in agri-production will provide greater impetus to the economy amidst the overall slowdown".
M&M's net profit rose 1.7% to Rs 889.19 crore on 12% growth in net sales to Rs 10353.38 crore in Q4 March 2013 over Q4 March 2012.
The Mahindra Group operates in the key industries that drive economic growth, enjoying a leadership position in tractors, utility vehicles, information technology and vacation ownership. In addition, Mahindra enjoys a strong presence in the agribusiness, aerospace, components, consulting services, defence, energy, financial services, industrial equipment, logistics, real estate, retail, steel and two wheeler industries.
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