Hindustan Motors drops after slump in March sales

Hindustan Motors lost 3.63% to Rs 7.44 after the company said its total vehicle sales declined 73.87% to 232 units in March 2014 over March 2013

Hindustan Motors lost 3.63% to Rs 7.44 at 12:16 IST on BSE after the company said its total vehicle sales declined 73.87% to 232 units in March 2014 over March 2013.

The company announced the sales numbers after market hours on Wednesday, 2 April 2014.

Meanwhile, the S&P BSE Sensex was down 118.19 points or 0.52% at 22,433.30.

On BSE, so far 32,000 shares were traded in the counter as against average daily volume of 1.03 lakh shares in the past one quarter.

The stock hit a high of Rs 7.75 and a low of Rs 7.43 so far during the day. The stock had hit a 52-week low of Rs 6.04 on 7 August 2013. The stock had hit a 52-week high of Rs 10.59 on 17 May 2013.

The stock had underperformed the market over the past one month till 2 April 2014, advancing 5.75% compared with the Sensex's 6.78% rise. The scrip had also underperformed the market in past one quarter, sliding 6.31% as against Sensex's 7.96% rise.

The small-cap company has equity capital of Rs 92.39 crore. Face value per share is Rs 5.

Hindustan Motors' passenger vehicle sales declined 73.24% to 229 units in March 2014 over March 2013. Sales of light commercial vehicle (LCV) Winner dropped 90.62% to 3 units in March 2014 over March 2013. Hindustan Motors' production of passenger vehicles declined 72.64% to 232 units in March 2014 over March 2013. There was nil production of LCV Winner in March 2014 as against 26 units in March 2013.

Hindustan Motors reported a net loss of Rs 15.51 crore in the quarter ended 31 December 2013 as against net profit of Rs 20.36 crore in the quarter ended 31 December 2012. Net sales declined 23.2% to Rs 86.74 crore in the quarter ended 31 December 2013 over the quarter ended 31 December 2012.

Hindustan Motors (HML) manufactures the Ambassador (1500 and 2000 cc diesel, 1800 cc petrol, CNG and LPG variants) in the passenger car segment, light commercial vehicle 1-tonne payload mini-truck Winner's 1.5 litre and 2 litre diesel versions and a CNG version of Winner and auto components at its Uttarpara plant. The company also runs operations at Pithampur near Indore in Madhya Pradesh where in it produces Winner.