Karachi, February 23: Indus Motor Company Limited (IMC), the manufacturer and distributor of Toyota vehicles in Pakistan posted a 50% growth in sales revenue in the half year ending December 2014. Higher sales volumes, improved margins on account of enhanced localization in the new model Toyota Corolla, increase in treasury income and tighter control on fixed costs resulted in sales revenues of Rs 39.1 billion compared to Rs 26.1 billion for the same period last year. The profit after tax for the period is Rs 3.1 billion as compared to Rs 1.4 billion achieved same period last year.
In order to fulfill the growing market demand and reduce delivery time cycle, the Company operated its manufacturing facilities at full capacity. It was working daily in overtime hours and off Saturdays to achieve production of 23,221 units, which is up 56% over 14,854 units produced during six month to December 2013.
During the first half of fiscal Year 2014-15, IMC’s sales increased by 50% to 23,081 units against 15,400 units sold last year for the same period. The all new 11th Generation Corolla, launched in July, made a powerful impact on the market and the response was overwhelming, generating sales of 20,729 units, up 61% over the same period last year. The new Corolla also features new, additionally localized parts.
The GOP budget announcement to remove the punitive 10% FED on vehicles above 1800cc also provided respite to the Toyota Fortuner SUV’s volumes, and they grew by 59% to 361 units for the Fiscal Year 2014-15.
Board of Directors declared an interim dividend of Rs 20 per share for the half year ended December 31, 2014 compared to an amount of Rs 6 per share for half year ended December 31, 2013.
IMC’s Half Yearly Board meeting was attended by the board of directors, including the newly appointed Independent Director Mr. Azam Faruque, who was appointed earlier in compliance with the Code of Corporate Governance 2012.