Due to high demand among public, the automobile companies are delaying delivery of cars to customers but their income is still rising and the latest to report earnings is Suzuki. which recorded a profit of 37.8 percent in the first half of 2017.
The maker of Cultus, WagonR and Mehran surpassed a quarterly profit of Rs 1 billion for the first time in the recent years.
According to the financial results, Pak Suzuki Motor Co. Ltd made a profit of Rs 1.306 billion during the period of January to March 2017 as compared to Rs 0.947 billion reported in the same period of 2016.
The company’s overall revenue increased to Rs 23.8 billion by end of March 2017 from Rs 19.9 billion by end of March 2016.
The company earning under the head of other income surged to Rs 2.03 billion by end of first quarter which stood at Rs 1.49 billion last year in the same period.
The earning per share of the company increased to 15.88 from 11.51.
Surprisingly, the company did not announce any dividend for their shareholder in the first quarter of 2017.
Productions and Sales
The high demand of customers for Suzuki cars slowed down its delivery to customers due to limited production capacity.
“Own money”, which is as much as Rs 75,000, is also being charged in the market on various car models.
In 2017, Suzuki redesigned and launched Cultus which created a pre-launch hype to attract a good number of pre-booking orders.
The company also launched SVU Suzuki Vitara in the end of 2016.