Mahindra & Mahindra, a home-grown auto major, announced plans to create an additional 4,000 units per month capacity for the five-door version of Thar, Thar Roxx, which is expected to launch next month. Overall, the company is aiming for a total exit capacity of 64,000 units per month for the current fiscal year, including models like XUV 3XO/400 and electric vehicles.
The company reported a 20 percent year-on-year increase in net profit, reaching Rs 3,283 crore for the three months ending in June. The automotive segment’s consolidated profit after tax (PAT) rose by 35 percent year-on-year to Rs 1,330 crore, excluding the previous year’s gains on KG Mobility, and consolidated revenue grew by 16 percent to Rs 19,776 crore.
Rajesh Jejurikar, Executive Director & CEO (Auto and Farm Sector) at Mahindra & Mahindra Ltd., stated that the company is creating an additional 4,000 units per month capacity for the five-door Thar, on top of the planned total capacity. According to a presentation, Mahindra & Mahindra has planned a total manufacturing capacity of 64,000 units per month for the current fiscal year and 72,000 units for the next financial year.
The FY25 exit capacity includes a 5,000 units per month increase in SUV capacity (THAR 5D, XUV3XO/4OO) and a 10,000 units per month capacity for electric vehicles. The company also plans to have an additional 8,000 units per month capacity for EVs in the next fiscal year.
In the April-June quarter, the total volume was 2.12 lakh units, with the UV (utility vehicle) portfolio accounting for 1.24 lakh units. As of July 1, the total open booking stood at 1.78 lakh units, including 55,000 for XUV3XO, 42,000 for Thar (including rear wheel drive or RWD), 13,000 for XUV700, 8,000 for Bolero, and 58,000 for Scorpio-N. The company noted a 10 percent cancellation rate per month in bookings.
Jejurikar mentioned that, on average, Thar and XUV300 had a waiting period of about 8-10 weeks. He also noted that the recent price cut by the company is not expected to significantly impact its financials, as volume growth will provide operating leverage.
