KUALA LUMPUR (Feb 29): PROTON HOLDINGS BHD [] posted heavier net losses of RM88.20 million in the third quarter ended Dec 31, 2011 compared with the net loss of RM60.10 million a year ago due to a decline in year-end sales.
It said on Wednesday that total sales volume was lower when compared to the immediate preceding quarter due to the expected slowdown in buying trend as customers opted to wait until after the new year to purchase a new vehicle in order to capitalise on better future resale value.
“Customer demand over the period also showed an unfavourable volume mix of Proton models, which further affected the profit margin. Consequently, the lower sales volume also resulted in the group having had to adjust production numbers to better manage cost,” it said.
Proton said its 3Q revenue was lower at RM1.432 billion compared with RM1.833 billion a year ago. Loss per share was 16.10 sen compared with loss per share of 10.90 sen a year ago.
For the nine-month period, its registered net loss of RM68.09 million compared with net profit of RM90.50 million a year ago. Its revenue was lower at RM5.928 billion compared with RM6.363 billion a year ago.
Proton group chairman Datuk Seri Mohd Nadzmi Mohd Salleh said the lower profit was largely due to lower revenue from domestic sales.
“However, the unfavourable impact from the lower revenue was cushioned by a decrease in manufacturing overheads and lower administrative expenses incurred in the same financial period. Additionally, the result was also affected by lower volume sale of Lotus cars in Europe in the past quarter,” he said.
Nadzmi said the one-month delay of the launch of Proton’s latest model, the Exora Bold, a turbocharged variant of its popular-selling people carrier had also affected projected sales.
However, he added the delay was necessary to ensure that all issues were addressed and that the customers would get the best from the car.
It said on Wednesday that total sales volume was lower when compared to the immediate preceding quarter due to the expected slowdown in buying trend as customers opted to wait until after the new year to purchase a new vehicle in order to capitalise on better future resale value.
“Customer demand over the period also showed an unfavourable volume mix of Proton models, which further affected the profit margin. Consequently, the lower sales volume also resulted in the group having had to adjust production numbers to better manage cost,” it said.
Proton said its 3Q revenue was lower at RM1.432 billion compared with RM1.833 billion a year ago. Loss per share was 16.10 sen compared with loss per share of 10.90 sen a year ago.
For the nine-month period, its registered net loss of RM68.09 million compared with net profit of RM90.50 million a year ago. Its revenue was lower at RM5.928 billion compared with RM6.363 billion a year ago.
Proton group chairman Datuk Seri Mohd Nadzmi Mohd Salleh said the lower profit was largely due to lower revenue from domestic sales.
“However, the unfavourable impact from the lower revenue was cushioned by a decrease in manufacturing overheads and lower administrative expenses incurred in the same financial period. Additionally, the result was also affected by lower volume sale of Lotus cars in Europe in the past quarter,” he said.
Nadzmi said the one-month delay of the launch of Proton’s latest model, the Exora Bold, a turbocharged variant of its popular-selling people carrier had also affected projected sales.
However, he added the delay was necessary to ensure that all issues were addressed and that the customers would get the best from the car.
