Mahindra Set for Biggest Drop in Decade as Earnings Disappoint

  • Stock tumbles more than 7% in worst fall since August 2009
  • Drop in industry-wide January sales weighs on sentiment

The launch of the Funster electric vehicle (EV) at the Auto Expo 2020 in Noida, Uttar Pradesh, India.

Photographer: Prashanth Vishwanathan/Bloomberg
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Mahindra & Mahindra Ltd. shares headed for their steepest decline in more than a decade after the Indian automaker reported a surprise drop in its December-quarter earnings.

The stock tumbled 7.2% to 528.2 rupees at 3:21 p.m. in Mumbai, set for the steepest fall since August 2009, and the worst performance on the 16-member gauge of automakers. Other companies on the index -- Motherson Sumi Systems Ltd. and Eicher Motors Ltd. -- slumped by more than 3%.