Tag: car sales in Pakistan

  • PAMA reports over 18% decline in car sales in Pakistan for FY24

    PAMA reports over 18% decline in car sales in Pakistan for FY24

    Car sales in Pakistan experienced a significant decline of 18.2 per cent during the fiscal year 2023-24, as reported by the Pakistan Automotive Manufacturers Association (PAMA).

    The total number of vehicles sold dropped to 103,826 units, down from 126,878 units in the previous fiscal year.

    Despite the annual drop, June 2024 brought a surprising surge in car sales. The month saw a remarkable 120.2 per cent increase, with 13,284 units sold compared to just 6,033 units in June 2023.

    This spike also represented a 21.3 per cent increase from the 10,949 units sold in May 2024, indicating a potential recovery in the market.

    However, the overall picture for the year was less optimistic. Passenger car sales decreased by 15.7 per cent year-on-year, with 81,577 units sold compared to 96,811 units in the previous year. The production of passenger cars also saw a decline, with only 79,573 units produced in FY24, a 22.0 per cent drop from the 101,984 units manufactured last year.

    Diving deeper into the data, the ‘Below 1000cc’ category led the market with 38,657 units sold in FY24. Within this category, the Suzuki Alto was the star performer, with an impressive 35,883 units sold. The Suzuki Bolan followed with 2,774 units.

    The ‘1300cc and Above’ category also saw substantial sales, with 35,447 units sold. Toyota (Corolla & Yaris) dominated this segment, selling 16,305 units.

    Honda Cars (Civic & City) came next with 11,501 units, followed by Suzuki Swift with 5,567 units, and Hyundai Elantra with 1,193 units.

    A total of 7,473 units were sold in the 1000ccc segment in FY24. The Suzuki Cultus led this category with 3,878 units, while the Suzuki WagonR followed with 3,595 units.

    These statistics reveal a complex and shifting landscape in Pakistan’s automotive market. While the year saw a notable decline in sales and production, the significant surge in June suggests that the market might be on the path to recovery.

    For industry stakeholders and consumers alike, these trends will be crucial to watch in the coming months.

  • Honda Atlas records over Rs2 billion profit despite sales decline

    Honda Atlas records over Rs2 billion profit despite sales decline

    Honda Atlas Cars (Pakistan) Limited (HCAR) has reported a remarkable 797 per cent increase in profit-after-tax (PAT), achieving Rs2.33 billion for the fiscal year ending March 31, 2024, despite experiencing a significant drop in sales.

    This is a substantial increase compared to the Rs260.14 million PAT recorded in the previous year.

    The financial statements, released at the Pakistan Stock Exchange (PSX) on Wednesday, show that HCAR’s earnings per share (EPS) soared to Rs16.34, up from Rs1.82 the previous year. 

    The company’s Board of Directors has also announced a final cash dividend of Rs6.5 per share, equivalent to 65 per cent, in contrast to the previous year’s nil dividend.

    The impressive rise in profit is mainly attributed to a significant reduction in other expenses and lower taxation during the period.

    Sales for the year fell by over 42 per cent, from Rs95.08 billion last year to Rs55.07 billion. As a result, the company’s gross profit declined by over 37 per cent, from Rs7.16 billion to Rs4.51 billion. Nevertheless, HCAR’s gross margins improved, rising to 8.2 per cent from last year’s 7.5 per cent.

    There was a 12 per cent increase in administrative expenses, which amounted to Rs1.48 billion, up from Rs1.32 billion in the previous year. However, other expenses saw a dramatic 92 per cent reduction, falling to Rs393.6 million from Rs4.93 billion.

    The finance cost also rose significantly by over 252 per cent, reaching Rs1.22 billion compared to Rs346.1 million last year.

    HCAR reported a profit before taxation (PBT) of Rs2.75 billion, a nearly 39 per cent year-on-year increase. Despite this higher PAT, the company’s tax payments dropped nearly 76 per cent, amounting to Rs418.85 million, down from Rs1.72 billion last year.