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LOCAL NEWS Proton performance improved in last quarterFebruary 21, 2008 09:33 PM Author: Chips |
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Proton Holdings Berhad continued to improve its financial performance, posting a profit-before-tax of RM11 million for the third quarter (Q3) ended December 31 2007 (Proton’s financial year runs from April to March). This was an improvement compared to the loss-before-tax of RM272 million incurred in the corresponding quarter during the previous financial year. The positive return was attributed to higher sales volume and lower operating costs. Proton Chairman Dato’ Mohammed Azlan Hashim said the Group is greatly encouraged by the support of the Malaysian market for its new products, which, in turn, has generated more revenue (RM1.45 billion) in Q3. This, coupled with better cost management, has given Proton a second successive quarter of profits. It now appears to be on track to show improvement in its annual financial performance for the current financial year which will end on March 31 2008.
Managing Director Dato’ Syed Zainal Abidin Syed Mohamed Tahir said the strong support for the Persona has enabled Proton to chalk up a 7% increase in sales volume to 36,784 units from 34,340 units recorded during the second quarter. This is a significant improvement against the backdrop of reduced Total Industry Volume for the overall passenger car market which was reported to be 0.7% down from 2006. He added that with the brighter outlook for the domestic automotive industry in 2008, the New Saga would complement the Persona to provide the impetus for a strong order book for Proton. Dato’ Syed Zainal believed that, with increasing demand for more fuel-efficient and value-for-money vehicles, the New Saga is set to ride on the wave of higher Total Industry Volume for passenger cars and drive volume growth for Proton.
On the international front, Proton has made headway to grow in volume beyond Malaysian shores through landmark deals such as export orders of 30,000 Gen.2 in Completely Built-up (CBU) form to Jinhua Youngman Automobile Manufacturing Co Ltd of China and 5,000 units for Waja to be used as taxis in Iran. Dato’ Syed Zainal said the expected impact from export initiatives in China, Iran and Asean countries, coupled with a strong domestic order book driven by the New Saga and Persona, will hold the Group in good stead for the final quarter ending on March 31 2008. Ongoing cost-reduction initiatives and improvement in operational efficiency will also contribute positively to the financial performance of the company, he added. Related articles Talk about this news in the MTM Forum  |
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