Ashok Leyland closes plant to align production with demand

Leading commercial vehicle manufacturer Ashok Leyland has informed that the company has closed its plant in Pantnagar for six days in the month of June.

With this the company intends to align its production capacity with sales demand. The Pantnagar plant will be shut from June 24, 2019 to June 29, 2019, said the company in a filing to the exchange. It added that there would not be any material impact of the close down.

For the month of May, Ashok Leyland reported total sales of 13,172 units as compared to 13,659 units in May 2019, which is a 4 per cent decrease on a YoY basis.

Sales of the company's medium and heavy commercial vehicle (M&HCV) trucks were down by 12 per cent at 7,382 units compared to 8,430 units YoY, while M&HCV Bus sales were down 21 per cent at 1,564 units compared to 1,991 units YoY.

Reacting to the development, the stock of Ashok Leyland was quoting Rs. 83.25 per share, up by 0.48 per cent on BSE. The stock opened at Rs. 81.00 per share and hit a intraday high of Rs. 83.30 per share and low of Rs. 80.30 on Thursday.