The prevailing economic meltdown shattered the whole auto industry but Pak Suzuki has a different tale of woes and miseries. Zero inventory, prolonged production cuts and dwindling sales and price hikes led to record loss of Rs 6.33 billion last year. The company reported the biggest ever loss after tax of Rs. 6.33 billion for year 2022. As per the details Pak Suzuki earned profit of Rs. 2.67 billion last year. Massive taxation of Rs. 3.19 billion, marked as the main reason for the downtrend which is 186% more than 1.11 billion in taxes paid in calendar year 21. Moreover, net sales observed a hike of 26.5% in the face back-to-back price jumps. Meaning, Pak Suzuki earned Rs. 202.46 billion in 2022 against Rs. 160.08 previous year. Financial results for CY22 reported a loss of Rs. 77 per share compared to 32.56 per share last year. The company’s stock filing stated, “up to 31 December 2022, the Company incurred an exchange loss of Rs. 3.55 billion on foreign currency transactions and balances. Subsequent to year-end PKR to USD parity has further deteriorated and resulted in a huge unrealized loss of Rs. 9 billion (approximately) which may impact the equity of the Company in the year 2023. If the foreign currency liability is not paid due to the restrictions imposed by the State Bank of Pakistan, the exchange loss of the Company would further enhance which will adversely impact the equity of the company in the financial year 2023”. Suzuki Shuts Down Bike Assembly Plant Pak Suzuki Motor Company (PSMC) has been facing some major operational issues lately, thanks to import restrictions, which have forced the company to shut down its bike assembly plant this month. According to an official notice submitted to the Pakistan Stock Exchange (PSX), the company’s inventory shortage has forced them to take this drastic step. The shutdown will begin on March 20 and last until March 31. What do you think about the recent loss PSMC has reported? Tell us in the comments section.

Pak Suzuki Motor Company (PSMC) has been facing some major operational issues lately, thanks to import restrictions, which have forced the company to shut down its bike assembly plant this month. According to an official notice submitted to the Pakistan Stock Exchange (PSX), the company's inventory shortage has forced them to take this drastic step. The shutdown will begin on March 20 and last until March 31. A report from the Pakistan Automotive Manufacturers' Association (PAMA) revealed that Suzuki sold less than 2,000 bikes in February 2023. This marks a 10% decrease in monthly sales compared to January, a trend that has continued for some time now. One of the primary reasons behind this decline is the recent price hikes. For instance, Suzuki's cheapest commuter bike, the GD110 S, now costs Rs. 293,000. The GS150 comes in second, costing Rs. 318,000, followed by the GSX125, which costs Rs. 422,000. The most expensive bike in Suzuki's lineup is the GR150, which is priced at a staggering Rs. 455,000. Unfortunately, the two-wheeler industry is struggling in Pakistan, primarily due to intermittent production hiccups caused by import restrictions. But the low sales figures can also be attributed to the astronomical rise in prices, which have taken a toll on demand. This has led to the shutting down of the Suzuki bike assembly plant. It remains to be seen how long the situation will last, but one thing is for sure, the current state of affairs is having a significant impact on the industry as a whole.

Pak Suzuki Motor Company (PSMC) has been facing some major operational issues lately, thanks to import restrictions, which have forced the company to shut down its bike assembly plant this month. According to an official notice submitted to the Pakistan Stock Exchange (PSX), the company's inventory shortage has forced them to take this drastic step. The shutdown will begin on March 20 and last until March 31. A report from the Pakistan Automotive Manufacturers' Association (PAMA) revealed that Suzuki sold less than 2,000 bikes in February 2023. This marks a 10% decrease in monthly sales compared to January, a trend that has continued for some time now. One of the primary reasons behind this decline is the recent price hikes. For instance, Suzuki's cheapest commuter bike, the GD110 S, now costs Rs. 293,000. The GS150 comes in second, costing Rs. 318,000, followed by the GSX125, which costs Rs. 422,000. The most expensive bike in Suzuki's lineup is the GR150, which is priced at a staggering Rs. 455,000. Unfortunately, the two-wheeler industry is struggling in Pakistan, primarily due to intermittent production hiccups caused by import restrictions. But the low sales figures can also be attributed to the astronomical rise in prices, which have taken a toll on demand. This has led to the shutting down of the Suzuki bike assembly plant. It remains to be seen how long the situation will last, but one thing is for sure, the current state of affairs is having a significant impact on the industry as a whole.

The recent major slump in Pakistan’s already shrinking economy is nothing less than a nightmare for the local car assemblers in the country. No production leading to dwindling sales has shattered all their hopes. Meanwhile, PSMC’s  (Pakistan Suzuki Motor Company) situation is worse. As per Pakistan Automotive Manufacturers Association (PAMA) report, Toyota Corolla and Honda City outsold Suzuki’s best weapon – dubbed Alto. Toyota sold 864 units Corolla last month. Whereas, Honda posted 937 units sold last month becoming the top seller of the company. Suzuki Sales Report Pak Suzuki Motors Company (PSMC) surpassed its Japanese peers in terms of a decline in sales – 67%. The company sold 978 cars last month, contra 2,945 cars in January. (MoM decline: 67%). The company sold 544 units of Alto, 72 units of Suzuki Cultus, 93 units of Suzuki Wagon R, 67 units of Suzuki Swift, 91 units of Suzuki Bolan, and 111 units of Suzuki Ravi. Car Sales Falls to 3-year low – Report As expected, the ongoing economic disaster and closed LCs leading to production shutdowns has further shattered the already dwindling car sales. The incumbent government carries no coercive and well-thought plan to repair the damage the prevailing economic breakdown has done to the local auto industry. Resultantly, assembly plants of various car companies are observing lockdown in the country. As per Pakistan Automotive Manufacturers Association (PAMA) report, month-on-month (MoM) car sales marks a new downtrend – decreased by 47%, selling 5,762 vehicles in February 2023. The episode narrating a series of never tale or woes and miseries never ends here – year-on-year (YoY) sales witnessed a decline of whopping 73%. What do you think about the prevailing situation of local car companies and their sales? Drop your thoughts in the comments section.