Maruti: Oct ’10 volume: All time high:: Standard Chartered

Visit http://indiaer.blogspot.com/ for complete details �� ��


Oct ’10 volume: All time high; Domestic volume
crosses 100,000 units



Volume crossed the 100,000 mark for the fourth consecutive
month, growing 39.2% yoy. Domestic sales crossed the same
mark for first time ever in the company’s history with 50% yoy
growth, primarily driven by strong growth in A2 (50.7% yoy)
and A3 (32% yoy) segments. With YTD volume growth at
28.2%, we expect 13.7% residual growth for the rest of FY11.
Reiterate Outperform.

Highest-ever volume, strong 39.2% yoy growth. Volume
crossed the 100,000 mark for the fourth consecutive month,
growing 39.2% yoy and 10.1% mom to 118,908 units. MSIL
has increased its production capacity by 10% to 110,000
units/month.
Domestic sales cross 100,000 mark, growing 50.3%
yoy. Domestic sales grew 50.3% yoy, the highest ever, to
107,555 units. This was driven primarily by growth in A2
and A3 segments of 50.7% yoy (to 77,502 units) and 32%
yoy (to 11,621 units) respectively. A1 segment, which is on
a withdrawal mode, registered a decline of 15.8% yoy but
an increase of 63.6% mom to 2,631 units. The MUV
segment registered 151.2% yoy and 58.6% mom growth on
a low base.
Export volumes decline 18.1% yoy and 11.7% mom. In
order to counter this decline, MSIL is expanding into newer
markets such as Poland, Norway, Australia, and Taiwan.
Gained 200bps mom market share. MSIL market share
increased 200bps mom and 600bps yoy considering - top
three players in the industry.
Valuation: Reiterate Outperform - MSIL has reported
strong volume growth of 28.2% YTD FY11. We expect
13.7% residual growth for the rest of FY11. Reiterate
Outperform.