Maruti in its FY
Indian car leaders Maruti Suzuki are doing wonder on the Indian roads from the time of its birth. The companys growth is visible not only domestically but also globally. We can get a clear picture looking at their growth chart.
In the last fiscal, MSIL saw a volume growth of 1.1% during the quarter due to low domestic sales at 187191 units, where as the export was up by 5.8% at 15034 units. Due to a fall in the A1 segment of 8% last financial year; the company has discontinued its Maruti 800 model. A2 segment was also seen a little low by 2%. But the segment that showed the great growth was in A3 with the 82% growth and the credit goes to the well sold Alto and Swift models.
The company also discontinued Esteem during the year and was replaced by Swift Dzire. The company also invested in its Manesar during this year. Talking about its operating profit during the quarter, we come to know that it was down by by 14% and operating profit per vehicle was also seeing a fall by 14.4% last fiscal. MSIL also revised the estimated useful life of certain Plant and Machinery from 13 Years to 8-11 Years.
The year 2008 offered lots of changes for the auto mobile industry. The rate of interest increased and the market also saw an adverse. The excise duty was also cut in small cars and new product launched during the year. Some of the new models that rolled out was popular SX4 (MAY 2007), Grand Vitara (July 2007) and Swift Dzire (March 2008) during the year. It remained the leader in the A3 segment with a market share of 22% as against 15% last year. MSIL also expanded its network to 600 showrooms over 319 cities.
The other project that they have in their pipe line is new A-star model which was displayed at the 2008 Auto Expo in Delhi will be hitting the roads in 2009. This concept car will be developed at at Suzuki and the company plans of exporting 100,000 units.
MSIL did not lag behind in terms of customer satisfaction too and was ranked 1 for the 5th time in regards by JP Power. About its future plans, MSIL would be concentrating on R&D development for its new models and supply of new engines. It would be also aiming at setting up more warehouses and showrooms for easier access to customers.
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