May Auto Sales: Ashok Leyland sales slip 4%; stock falls as M&HCV volumes drag

Shares of Ashok Leyland fell more than 3% after the commercial vehicle manufacturer reported a decline in May sales, with volumes coming in below Street expectations amid weakness in its medium and heavy commercial vehicle (M&HCV) segment.

The company reported total sales of 14,923 units in May 2026, down 3.6% from 15,484 units in the corresponding month last year and below the CNBC-TV18 poll estimate of 16,675 units.

Domestic sales declined 2.7% year-on-year to 14,148 units from 14,534 units a year ago. The weakness was led by the M&HCV segment, where domestic sales fell 11.4% to 8,320 units from 9,386 units in May 2025.

Also read: Tata Motors CV sales rise 17% in May, but miss Street estimates

Within the segment, domestic M&HCV truck sales declined 5.4% to 7,065 units, while M&HCV bus sales dropped 34.6% to 1,255 units from 1,920 units a year ago.

The company's light commercial vehicle (LCV) business continued to outperform, with domestic LCV sales rising 13.2% year-on-year to 5,828 units from 5,148 units in the corresponding period last year.

Including exports, total M&HCV sales declined 12.8% to 8,966 units from 10,282 units a year ago, while total LCV sales increased 14.5% to 5,957 units.

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Despite the weaker monthly performance, Ashok Leyland's cumulative sales for the first two months of FY27 remained higher than a year ago. Total vehicle sales during April-May rose 2.3% to 29,569 units from 28,905 units in the corresponding period last year, aided by continued growth in the LCV segment.

Shares of Ashok Leyland ended 3.6% lower on Monday at ₹149.8. The stock was among the worst performers on the Nifty Auto index. Shares are down 7% in the last one month and are down 20% so far for the year.