Covid Recovery Pulse - Auto retail taper off in new year 2021 - ICICI Direct

Vahan daily registrations have tapered off post festive uptick, with the figure standing at ~67.8k units as MTD January 2021, i.e., at ~85% of pre Covid levels. By comparison, reading as of Jan 14th stood at ~72k units i.e. down ~6% week-on-week (Note - Andhra Pradesh, Madhya Pradesh and Telangana are non-Vahan states. They combined form ~15% of auto volumes and ~20% of tractor volumes.

E-Way bill generation for the month of January began on a strong note reaching 3.2 crore, which if we compare to the average bill generation in the prior months to COVID19 (Oct19-Feb20) has reached ~103% levels of the average 5.5 crore bills. E-Way bill generation for the month of April, May, July, August, September, October, November and December hovered at 16%, 46%, 79%, 88%, 90%, 104%, 116%, 105% and 116% levels respectively.

For details, click on the link below: https://www.icicidirect.com/mailimages/IDirect_CovidRecoveryPulse_22Jan21.pdf

Source : Equity Bulls

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