Mahindra & Mahindra lost 0.15% to Rs 1170 at 9:17 IST on BSE after the company said its total tractor sales declined 6% to 17,407 units in July 2014 over July 2013.
The announcement was made after market hours on Friday, 1 August 2014.
Meanwhile, the S&P Sensex was up 113.48 points or 0.45% at 25,594.32.
On BSE, so far 1.142 shares were traded in the counter as against average daily volume of 48,000 shares in the past two weeks.
The stock hit a high of Rs 1171.35 and a low of Rs 1168 so far during the day.
Mahindra & Mahindra (M&M)'s domestic sales declined 8% to 16,379 units in July 2014 over July 2013. Exports surged 47% to 1,028 units in July 2014 over July 2013. Exports include CKD units.
Commenting on the monthly performance, Rajesh Jejurikar, Chief Executive, Farm Equipment and Two Wheeler Division, M&M said, "We have registered a sale of 16,379 units during July 2014. A delay in the arrival of monsoon has led to late sowing and has impacted farmer sentiment leading to lower sales of tractors in July. We do hope that the rains picking up in the month of July across the country will give a boost to the farmers' morale and the agriculture industry alike".
Separately, M&M on Friday, 1 August 2014, reported 4% drop in its total auto sales at 35,567 units in July 2014 over July 2013. Sales of Passenger Vehicle segment (which includes UVs and Verito) declined 5% to 14,708 units in July 2014 over July 2013. Domestic sales dropped 4% to 33,047 units in July 2014 over July 2013. Sales of four-wheeler commercial segment declined 9% to 12,472 units in July 2014 over July 2013. Three-wheeler sales rose 15% to 5,142 units in July 2014 over July 2013. Exports dropped 3% to 2,520 units in July 2014 over July 2013.
Commenting on the monthly performance, Pravin Shah, Chief Executive, Automotive Division & International Operations (AFS), M&M said, "The overall sales during the last month was subdued and the market remained challenging with the monsoon now setting in across the country as well as the ensuing festival season. We expect positive sentiments in the coming months resulting in enhanced demand for our products. We are happy that our first global SUV, the XUV500, has crossed the milestone of 1 lakh sales, this month, which is less than three years since its launch and we thank our customers for it".
M&M's net profit rose 0.9% to Rs 896.88 crore on 4.7% growth in net sales to Rs 10837.89 crore in Q4 March 2014 over Q4 March 2013.
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, commercial vehicles and two wheeler industries.
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