Mahindra Renault had a huge loss while running its sole model – Logan, has seen a decline of 48 per cent in sales, has managed to sell merely 13, 423 units of the aforesaid sedan and has posted a loss of Rs 490.21 crore on a gross turnover of Rs 741.17 crore during 2008-09.

The company, 51:49 joint ventures between Mahindra & Mahindra (M&M) and Renault makes the Logan entry-level sedan at M&M’s Nashik plant.

Adding to its misery, the company has sold 1,478 units of the Logan model during April-June 2009, as compared to 4,595 units sold during April-June 2008. 

Earlier media speculation said that Renault will go slowly with its India plans, but contrary to it the French company has merely termed all such reports as a baseless.

It has chalked out robust plans for the Indian car market in the not-too-distant future was also said by the company. As per The Hindu Business Line, Renault India spokesperson has reaffirmed its investment plans for India despite being engulfed by the ongoing financial tsunami. However, he admitted that the company is cautious and the initial mid-2010 deadline for product roll out to begin may not be adhered to. He quoted to The Hindu Business Line that the parent company was giving utmost priority to its cash flow position, which naturally meant that global investments would have to be done in a prudent manner. 

Popular Mahindra Cars in India:
Mahindra Renault Logan GL 1.4 (Petrol)
Mahindra Renault Logan GLE 1.4 (Petrol)
Mahindra Renault Logan GLX 1.6 (Petrol)
Mahindra Bolero DIZ (Diesel)
Mahindra Bolero DI (Diesel)
Mahindra Scorpio 2.6 LX 7-seater (Diesel)
Mahindra Scorpio 2.6 LX 9-seater (Diesel)
Mahindra Xylo E2 (Diesel)
Mahindra Xylo E4 (Diesel)

Related News:
Mahindra for its two-wheelers unlikely to use Kinetic brand name
Mahindra XYLO is now available with Anti-lock Braking System
Mahindra Scorpio to have Micro Hybrid technology
Mahindra domestic auto sales falls in May

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Posted by Naresh Koshti on 16 July, 2009 10:20:42 AM IST #