Indus Motor Company’s profit soared over 200% to Rs2.96 billion in the quarter ended December 31, 2020 owing to a sharp increase in net sales and other income.
Toyota Pakistan profit doubles in first half of FY2021
Commands a quarter of the Pakistan auto market share SAMAA | Bilal Hussain - Posted: Feb 26, 2021 | Last Updated: 3 weeks ago SAMAA | Bilal Hussain Posted: Feb 26, 2021 | Last Updated: 3 weeks ago
Photo: Samaa Money FILE
The Indus Motor Company, commonly known as Toyota Pakistan, saw its profit increase by 108% in the first half of the fiscal year 2021 (July to December 2020). It stood at Rs4.8 billion as compared to Rs2.3 billion the previous year.
The increase in profit came due to an increase in sales volume. The company sold an additional 82% units during the period as compared to the same period last year. It sold 26,362 cars against 14,453 vehicles sold during the same period last year.
Indus Motor Declares Profit in The First Half of 2021
Indus Motor Declares Rs 4.8 Billion Profit After Tax for First Half FY20-21
The Board of Directors of Indus Motor Company (IMC) released its financial results for the half-year ended December 31, 2020.
IMC’s combined sales of Completely Knocked Down (CKD) and Completely Built-up Units (CBU) units increased by 82% to 26,362 units against 14,453 units sold in the same period last year. The Company produced 26,383 vehicles, registering an 81 % increase, as compared to 14,555 units produced in the same period last year. IMC’s market share in the overall market stood at approximately 24.7% for the half year ended December 31, 2020.
Car scrappage policy should have preceded EV policy: Toyota Pakistan
Says old cars, buses produce most pollution SAMAA | Bilal Hussain - Posted: Feb 24, 2021 | Last Updated: 2 months ago SAMAA | Bilal Hussain Posted: Feb 24, 2021 | Last Updated: 2 months ago
If the idea behind promoting electric cars is to reduce carbon emissions then the scrappage policy should have preceded the electric vehicle policy, says Ali Asghar Jamali, the CEO of Indus Motor Company that makes Toyota cars in Pakistan.
Pakistan has old cars, buses and trucks that produce most of the traffic pollution in the country, according to Jamali. The government has jumped to the EV policy when it should have done many other things with environment in focus, including rolling out a car scrappage policy.
A Long Road to a Faster Lane?
Zeenat Chaudhary on how the automotive industry will fare in these uncertain times.
Ever since Karl Benz invented the world’s first motor car in 1886 – the Benz Patent-Motorwagen – the automotive industry has come a long way. From hi-tech Hondas and Chryslers to electric Teslas and Nios, the global industry contributes roughly three percent to all GDP output. Due to the pandemic, however, worldwide car sales have taken a hit and are expected to fall from $74.9 million in 2019 to under $62 million in 2020, according to Statista.
Industry Overview
In Pakistan, the automotive industry, which contributes 2.8% to the country’s GDP (source: Invest Pakistan), has faced a cycle of booms and busts since the 2000s. In fact, the auto industry was on a downward trend before Covid-19 struck, primarily due to rising taxes (Federal Excise Duty increased from 2.5% to 7.5% and Additional Customs Duty by seven percent) and the rupee’s depreciation against th