UMW's August automotive sales leap 352% from July following resumption of operations

UMW's August automotive sales leap 352% from July following resumption of operations
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KUALA LUMPUR (Sept 13): UMW Holdings Bhd posted a 351.9% leap in automotive sales to 9,512 units in August, from 2,105 units in July, after operations resumed following the easing of the Full Movement Control Order (FMCO) restrictions.

In a statement, UMW said both UMW Toyota Motor (UMWT) and its associate company Perusahaan Otomobil Kedua Sdn Bhd (Perodua) registered improved sales although operations at its showrooms and assembly plants resumed only on Aug 16.

UMWT delivered 2,524 units in August, 74% higher than the 1,450 units registered in July, with Toyota Vios, Yaris and Hilux continuing to be its bestselling models, cumulatively contributing to 69% of total sales for the month.

Year-to-date, UMWT sold 38,085 vehicles as of August, 20% higher than the 31,734 units registered in the first eight months of 2020.

For Perodua, the local car manufacturer registered sales of 6,988 units in August, significantly higher than the 655 units recorded in July, with the demand remaining strong for all Perodua models, as evident from the strong bookings received during the FMCO, said UMW.

For the first eight months of the year, Perodua delivered a total of 104,933 units, 12.5% lower than the 119,977 units registered in the corresponding period of 2020, mainly due to the prolonged FMCO in 2021.

Consequently, Perodua has revised downwards its target for 2021 to 214,000 units from the 240,000 units announced earlier this year, after taking into account the global semiconductor chip shortage, which Perodua has managed to secure to ensure uninterrupted production for the remainder of the year.

UMW president and group chief executive officer Datuk Ahmad Fuaad Mohd Kenali said: "Currently, both marques have a healthy level of outstanding bookings, and will be focusing on ramping up production to ensure timely delivery to our customers whilst ensuring full compliance with the standard operating procedures.

"Our domestic parts and components suppliers have also resumed operations as well as having secured our planned completely knocked down parts to meet our customers' demand," he said.

Looking ahead, Ahmad Fuaad said UMW expects the automotive sales momentum to continue for the remainder of the year especially with the extension of the sales tax exemption to Dec 31.

At 4.03pm, UMW shares were up 0.62% or two sen to RM3.22, valuing the group at RM3.76 billion.

S Kanagaraju