Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  KARACHI STOCK EXCHANGE (GUARANTEE) LIMITED, THE  >  Indus Motor CoXD    INDU   PK0054501017

INDUS MOTOR COXD

(INDU)
  Report  
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsPress ReleasesOfficial PublicationsSector news

In Pakistan, carmakers dismiss talk of plant shutdown

share with twitter share with LinkedIn share with facebook
share via e-mail
0
10/16/2019 | 09:53am EST

Owing to a slump in the auto sector, Indus Motor Company (IMC) and Honda Atlas Cars will continue their non-production days but will not completely shut down their plants.

'Company will continue non-production days,' said an Indus Motor spokesperson while dismissing rumours of a complete shutdown of its production plant.

Separately, Honda Atlas vehicle dealer Shaheen Anwar of Faisal Automobile told The Express Tribune that they had received no news of plant closure by Honda. Two other sources in the market also confirmed the continuation of prior production schedule.

Sales of the auto sector have continued to suffer from the dwindling economy. In September 2019, sales of cars and light commercial vehicles dipped 39% compared to the same period of previous year.

Honda and Toyota sales dropped 68% and 57% year-on-year respectively during the month. However, Pak Suzuki Motor Company sales contracted by a relatively lower 18% year-on-year, except for new Alto 660.

'Alto sales came in at 4,924 units in September 2019 - the highest monthly sales for a Suzuki car model,' remarked Ahmad Lakhani, an analyst at JS Research.

The previous record high for monthly sales was 4,648 units of Mehran, according to data compiled by the Pakistan Automotive Manufacturers Association (Pama).

'Although they (Suzuki) have not yet closed their plant primarily due to strong Alto demand, we need to keep in mind that it is they who have recorded losses for three consecutive quarters, which is not the case for the other two,' said the analyst.

'The country is going through an economic slowdown and the overall market has remained volatile. The factors largely contributing to this include rupee depreciation, reduction in car financing, increase in federal excise duty and higher input costs,' said a spokesman for Indus Motor. 'This has indeed been a great struggle.'

Over a 12-month period, the rupee depreciated over 31.6%. Additionally, the government has imposed 7% additional customs duty, 3% additional sales tax on all imports and 7.5% federal excise duty on vehicles of 2,000cc and above, he said.

There is also a fresh federal excise duty of 2.5% and 5% on locally manufactured vehicles. 'All this is having an adverse impact on the auto sector and has resulted in a major decline in sales. Of the total cost of a vehicle, 40% comprises taxes and levies imposed by the government,' he said.

'It is a misconception that the rising rate of tax will not affect vehicle sales and total tax collection; in fact, the decline in sales will result in a decline in tax collection from the auto sector,' he added.

'Yet, we have decided not to go for layoffs despite the hard times. We are absorbing this financial crunch.'

© Pakistan Press International, source Asianet-Pakistan

Stocks mentioned in the article
ChangeLast1st jan.
HONDA ATLAS CARS 5.00% 183.48 End-of-day quote.0.81%
HONDA MOTOR CO., LTD. -0.73% 3134 End-of-day quote.11.93%
INDUS MOTOR COXD -0.12% 1203.01 End-of-day quote.-1.39%
PAK SUZUKI -0.37% 201.94 End-of-day quote.12.80%
SUZUKI MOTOR CORPORATION 0.24% 4946 End-of-day quote.-7.84%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on INDUS MOTOR COXD
11/09INDUS MOTOR COXD : IMC accelerates Million Tree Drive
AQ
11/03INDUS MOTOR COXD : holistic move towards sustainable development
AQ
10/31INDUS MOTOR COXD : Transmission of Quarterly Report for the Period Ended Septemb..
AQ
10/30INDUS MOTOR COXD : IMC sales drop 41pc to Rs20.7bn
AQ
10/30INDUS MOTOR COXD : profit drops 62.4% to Rs1.32 billion
AQ
10/30INDUS MOTOR COXD : Financial results of Indus Motor Company Limited for Quarter ..
AQ
10/22INDUS MOTOR COXD : releases sustainability report 2019
AQ
10/22INDUS MOTOR COXD : Credit of Final Cash Dividend of Indus Motor Company Limited
AQ
10/16INDUS MOTOR COXD : Board of directors meeting of Indus Motor Company Limited
AQ
10/16In Pakistan, carmakers dismiss talk of plant shutdown
AQ
More news
Financials (PKR)
Sales 2020 101 B
EBIT 2020 9 158 M
Net income 2020 6 368 M
Finance 2020 22 060 M
Yield 2020 3,19%
P/E ratio 2020 19,7x
P/E ratio 2021 10,4x
EV / Sales2020 0,72x
EV / Sales2021 0,51x
Capitalization 94 910 M
Chart INDUS MOTOR COXD
Duration : Period :
Indus Motor CoXD Technical Analysis Chart | MarketScreener
Full-screen chart
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 10
Average target price 1 282,87  PKR
Last Close Price 1 207,50  PKR
Spread / Highest target 46,9%
Spread / Average Target 6,24%
Spread / Lowest Target -30,9%
EPS Revisions
Managers
NameTitle
Ali Asghar Jamali Chief Executive Officer & Executive Director
Ali Suleman Habib Chairman
Muhammad Aqeel Loon Chief Financial Officer
Faizan Ahmed General Manager-Information Technology
Raheel Asghar Senior Director-Technical Division
Sector and Competitors
1st jan.Capitalization (M$)
INDUS MOTOR COXD-1.39%604
SAIC MOTOR CORPORATION-14.44%37 943
FERRARI65.14%30 467
MARUTI SUZUKI INDIA LTD-5.63%29 615
FIAT CHRYSLER AUTOMOBILES11.45%24 549
EXOR N.V.50.53%18 254