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India’s Auto Retail Sales Rise 4.84% In June, Led By EV Surge: FADA | Auto News

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FADA reported that in June 2025, around 5 out of every 100 passenger vehicles sold were electric, a rise from just 2 in June 2024.

FADA stated July may see a mix of positive and negative market trends.

India’s overall auto retail sales across all categories grew by 4.84 per cent in June 2025 compared to the previous year, reaching over 20.03 lakh units. The rise was mainly due to increased demand during the festival and wedding seasons, according to the Federation of Automotive Dealers Associations (FADA).

The electric vehicle (EV) segment stood out with nearly double the sales in June 2024, according to DDNews. Meanwhile, FADA noted that out of every 100 passenger vehicles sold in June 2025, around five were EVs, up from two last year. Still, the overall pace of sales remained moderate.

“Segment-wise, every category closed in the green with two-wheelers at 4.73 per cent, three-wheelers at 6.68 per cent, passenger vehicles at 2.45 per cent, commercial vehicles at 6.6 per cent, tractors at 8.68 per cent and construction equipment at 54.95 per cent,” FADA president C.S. Vigneshwar said as quoted by DDNews.

“While the festival and marriage season demand provided a boost, financing constraints and intermittent variant shortages moderated sales. Early monsoon rains and rising EV penetration also shaped buying patterns,” Vigneshwar added. “Overall, June demonstrated a resilient two-wheeler performance amid mixed market signals,” he also noted.

As per reports, passenger vehicle (PV) sales dropped 1.49 per cent month-on-month but rose 2.45 per cent from the previous year. To which FADA president Vigneshwar said, “Heavy rains and tight market liquidity weighed on footfall and conversion, even as elevated incentive schemes and fresh bookings lent selective support. Some dealers indicated that certain PV manufacturers have introduced compulsory billing procedures — such as automatic wholesale debits — to meet volume targets; inventory consequently stands at around 55 days. June thus painted a picture of modest but steadfast PV performance amid varied market cues.”

Furthermore, commercial vehicle (CV) sales reportedly fell 2.97 per cent from May but showed a 6.6 per cent yearly rise. Early June deliveries helped boost numbers, but later sales slowed due to rains and limited cash flow. “Members pointed to the impact of new CV taxation and mandatory air-conditioned cabins, which have elevated ownership costs, alongside muted infrastructure demand. Overall, June reflected a resilient CV segment adeptly navigating cost pressures and a softening economy,” FADA president Vigneshwar explained.

Reportedly, FADA said July could bring mixed results—rural demand and school openings may help, but high prices, rains, and funding issues might hurt sales. In addition, dealer feedback showed more expecting sales to be flat or fall (42.8 per cent and 26.1 per cent) than to grow (31.1 per cent). Only 21 per cent of 2W, 38 per cent of PV, and 32 per cent of CV dealers reported good enquiry levels.

In the 2W space, rural activity and monsoon rains reportedly lifted interest, but heavy rainfall, fewer variants, and July’s price hikes slowed purchases. PV sales faced pressure from a strong base, few new models, and tight funding, though festive planning and new offers helped. Also, CVs struggled with weak infrastructure demand and higher costs from taxes and AC rules, though existing orders provided some support.

As per reports, FADA remains cautiously optimistic, counting on rural demand and government spending, but is ready to tackle challenges like rain disruptions, supply issues, and cash crunches.

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Burger King India Reports Narrowed Loss as Discounts Attract Budget Consumers, ETRetail

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Indian Burger King operator Restaurant Brands Asia reported a narrower first-quarter loss on Thursday, as its discounted menu items continued to draw in budget-conscious diners.

The company reported a net loss of Rs 41.94 crore for the three months ended June 30, compared to a Rs 49.36 crore loss a year earlier.

Fast food chains in India have been grappling with the double whammy of stiff competition from local rivals and muted demand from urban consumers due to high living costs.

To lure in the price-conscious diner, Burger King extended its value deals in the quarter, offering two vegetarian burgers for 79 rupees and two chicken burgers for 99 rupees.

It has also been offering a range of ‘Korean’ flavoured items to cash in on a growing fanbase for Korean dramas and music.

As a result, revenue from its India restaurants grew 12.6 percent.

Same-store sales, which refer to sales from stores open for at least 12 months, grew 2.6 percent in India, led by a growth in dine-in traffic.

Rival Westlife Foodworld, which operates the McDonald’s restaurants in India, reported same store sales growth of 0.5 percent in the first quarter.

Overall revenue from operations for Restaurant Brands Asia grew 7.9 percent to Rs 698 crore, as a decline in sales in Indonesia – where it operates 139 restaurants – partly offset the growth in India.

Its India store count grew to 519 stores sequentially, with the company adding six stores in the quarter.

Westlife missed quarterly profit estimates and KFC operator Sapphire Food swung to a loss in the first quarter due to higher costs.

  • Published On Aug 1, 2025 at 06:14 PM IST

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Asian Paints meets profit view as India retail demand cushions discounts hit, ETBrandEquity

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Asian Paints met first-quarter profit expectations on Tuesday as a modest recovery in retail demand supported volume growth in its core decorative paints segment, pushing shares up 2 per cent .

India’s top paint maker has been slashing prices to revive demand in its decorative paints segment, which has been under pressure from sluggish retail spending and rising competition from new players like Grasim Industries’ Birla Opus.

Asian Paints’ consolidated net profit fell 6 per cent year-on-year to 11 billion rupees ($126.7 million) in the quarter ending June 30, broadly in line with the average analyst estimate of 11.08 billion rupees, according to data compiled by LSEG.

Volumes at domestic decorative paints, a segment which make up for about 87 per cent of annual revenue, rose nearly 4 per cent , compared to the 2 per cent -7 per cent growth range projected by five brokerages.

“Volume growth for the quarter surprised positively as we had built in a 2 per cent rise,” said Antu Thomas, a research analyst with brokerage Geojit Financial Services.

“The results appear to show that early arrival of monsoon rains did not dampen demand as much as we had feared,” Thomas added.

The April-June quarter, which overlaps with India’s monsoon season, is typically slow for paint makers as clients postpone painting projects.

The steady volume growth helped offset the impact of price cuts and rising input costs, keeping overall profitability stable. Meanwhile, total expenses rose 1.3 per cent .

Shares of the paint maker, which were down 1.5 per cent before results, reversed course and were last up 1.7 per cent at 2400 rupees.

  • Published On Jul 30, 2025 at 02:00 PM IST

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Asian Paints meets profit view as India retail demand cushions discounts hit, ETRetail

Published

on


Asian Paints met first-quarter profit expectations on Tuesday as a modest recovery in retail demand supported volume growth in its core decorative paints segment, pushing shares up 2 per cent .

India’s top paint maker has been slashing prices to revive demand in its decorative paints segment, which has been under pressure from sluggish retail spending and rising competition from new players like Grasim Industries’ Birla Opus.

Asian Paints’ consolidated net profit fell 6 per cent year-on-year to 11 billion rupees ($126.7 million) in the quarter ending June 30, broadly in line with the average analyst estimate of 11.08 billion rupees, according to data compiled by LSEG.

Volumes at domestic decorative paints, a segment which make up for about 87 per cent of annual revenue, rose nearly 4 per cent , compared to the 2 per cent -7 per cent growth range projected by five brokerages.

“Volume growth for the quarter surprised positively as we had built in a 2 per cent rise,” said Antu Thomas, a research analyst with brokerage Geojit Financial Services.

“The results appear to show that early arrival of monsoon rains did not dampen demand as much as we had feared,” Thomas added.

The April-June quarter, which overlaps with India’s monsoon season, is typically slow for paint makers as clients postpone painting projects.

The steady volume growth helped offset the impact of price cuts and rising input costs, keeping overall profitability stable. Meanwhile, total expenses rose 1.3 per cent .

Shares of the paint maker, which were down 1.5 per cent before results, reversed course and were last up 1.7 per cent at 2400 rupees.

  • Published On Jul 29, 2025 at 03:58 PM IST

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