Perodua maintains 2018 sales target

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KUALA LUMPUR (Aug 2): Perodua is maintaining its sales target at 209,000 units this year, despite expectations of a challenging environment following the implementation of the Sales and Services Tax (SST) on Sept 1, 2018.

The company is also maintaining its production target at around 215,300 vehicles this year, a 7.5% increase from 200,100 vehicles manufactured last year, said President and Chief Executive Officer Datuk Aminar Rashid Salleh.

He said while the company was still unclear on the SST mechanism, it expected the public to go through an adjustment period, resulting in a temporary drop in demand.

“Perhaps the impact would last until December 2018 where most auto players would give good offers to reduce their carry-over stocks into the following year,” he said in a statement today.

On the company’s performance for the first half of the year (1H18), Aminar Rashid said Perodua achieved a half-year record of 117,100 vehicles, up 17.5% year-on-year (y-o-y), from 99,700 units sold in 1H17.

“Perodua took a 40.4 per cent market share of the 289,700 unit total industry volume (TIV) in 1H18, also a half-year record,” he said.

Aminar Rashid attributed the increase in sales to strong demand for the new Myvi and other models, as well as the zero-rated Goods and Services Tax (GST) towards the end of the second quarter.

“Our sales peaked in May at almost 22,000 units. However, we do not foresee this momentum continuing during the rest of the year,” he said.

Aminar Rashid said year-to-date, there were 117,100 Perodua cars registrations, led by Myvi (46,860 units), Axia (33,870 units), Bezza (23,555 units) and Alza (12,815 units).

The models also retained the top spots in their respective segments, he said, adding that the new Myvi remained the most popular model since its launch in November 2017.

Vehicle production also increased 10% y-o-y in 1H18 to 109,000 units, from 99,000 units previously.

Aminar Rashid added that the company purchased about RM2.28 billion worth of parts and components from vendors in 1H18, a reduction from RM2.33 billion acquired in 1H17, due to savings from the foreign exchange rate.

Perodua received over 185,000 orders during the same period, a 24% increase from 1H17.

“Orders surpassed 40,000 in June alone and Perodua is working overtime to meet the demand,” he said, adding that bookings made this month would only be met from September 1 onwards.

Meanwhile, he said Perodua’s service intakes at its 179 service centres nationwide, grew six per cent y-o-y in 1H18 to 1.08 million vehicles, from 1.026 million vehicles previously. — Bernama