Indus Motor’s profit plunges by 88 percent
The Indus Motor Company Limited’s profit after tax dropped 88 percent to Rs 183 million in the first half of current fiscal year compared with Rs 1.361 billion in the corresponding period of previous year.
The financial results of the company announced on Tuesday indicated that its sales revenue for the first half year ended December 31, 2008 was down 23 percent to Rs 14,437 million compared with Rs 18,657 million posted in 2007.
Lower sales volumes and reduced profitability on account of stronger Yen against the Rupee, rapid rise in input costs, run out of the old Corolla model and planned annual maintenance shutdown during this period primarily contributed to this decline. The company has not announced an interim dividend for the half year ended December 2008.
The sales of Toyota and Daihatsu brands of both CKD and CBU, for the first half year ended December 2008 declined by 40 percent to 13,927 units as compared with 23,138 units sold for the same period in the prior year.
The company was however able to improve its market share from 22 percent to 24 percent due to strong acceptance of the brand and product range by its valued customers. Production fell 35 percent to 14,844 units compared with 22,824 units manufactured during half year ended December 2007.