KUALA LUMPUR: Bermaz Auto Bhd (BAuto) reported a decreased revenue of RM457.2 million compared to RM690.3 million same quarter last year mainly due to lower sales volume from the domestic operations.
BAuto in its filing with Bursa Malaysia today said the decline was partially offset by higher revenue recorded by its Philippine operations.
“The lower sales volume recorded during the period was due to the expected reduction in demand for the phased out Mazda CX-5 model in favour of the new facelift CX-5 model that was launched on 30 September 2019.
"The delayed delivery for some of the new facelift CX-5 and the all-new CX-8 units, which were launched at the end of September 2019 and the beginning of October 2019 respectively, was due to the resolution of certain pricing issues.
"As such, there was no sale of CX-8 vehicles during the quarter which eventually affected the anticipated recovery from the lower unit sales recorded in August and September 2019,” it said.
BAuto also said the group’s pre-tax profit decreased to RM29.2 million compared to RM94.6 million in the previous year’s corresponding quarter largely due to lower profit contribution from the domestic operations and lower share of profit contribution from its associate company, Mazda Malaysia Sdn Bhd (MMSB).
“The lower profit contribution was a result of weakening domestic sales volume and lower margin arising from the absorption of higher costs on the new facelift Mazda CX-5 model compelled by the present market sentiments,” said BAuto.
Meanwhile, the group has recommended a second interim dividend of 2.75 sen single-tier dividend per share in respect of the financial period ended 31 October 2019.
The group is optimistic that the recent launch of the all-new Mazda3, Mazda CX-8,Mazda CX-5 model which includes the 2.5L turbo variant in Malaysia, and the expected launch of the all new Mazda CX-30 during the coming quarter may help increase the group financial performance.
The company anticipate the performance for the financial year ending 30 April 2020 will remain satisfactory.