Mahindra & Mahindra Ltd (M&M), one of India’s leading automobile manufacturers, reported its first monthly sales decline in over three years during August 2025. The company, known for its SUV portfolio, moderated dealer dispatches as it awaits clarity on the proposed consumption tax reduction.
The automaker’s SUV sales dropped 9% in August compared to the previous year. However, on a fiscal year-to-date basis (April–August 2025), sales remain healthy, showing a 15% growth. This reflects sustained demand for M&M’s new SUV and electric vehicle (EV) models despite short-term adjustments.
With the Goods and Services Tax (GST) Council set to meet later this week to discuss a possible cut, both dealers and customers are playing it safe. Buyers are delaying festive season purchases in anticipation of lower vehicle prices, while dealers are avoiding high-cost inventory risks.
The entire Indian auto industry has been facing a slowdown amid high financing costs and cautious consumer sentiment. Mahindra’s move to scale back dispatches highlights the industry’s sensitivity to regulatory decisions, particularly in the world’s third-largest car market.
On September 2, 2025, M&M share price (NSE: M&M) opened at ₹3,325.00, up from its previous close of ₹3,315.40. At 9:48 AM, the share price of M&M was trading at ₹3,284.60, down by 0.93% on the NSE.
Also Read: Aug 2025 Auto Sales: Tata Motors, Maruti Suzuki, and M&M Shares in Focus!
While Mahindra witnessed a rare monthly sales decline, its overall fiscal performance remains strong, supported by robust demand for SUVs and EVs. The upcoming GST Council decision could reshape market dynamics and provide fresh momentum for the sector ahead of the festive season.
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Published on: Sep 2, 2025, 11:06 AM IST
Nikitha Devi
Nikitha is a content creator with 7+ years of experience in the financial domain. Specialising in personal finance, investments, and market insights, Nikitha simplifies complex financial topics, making them accessible to readers.
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