Ssangyong Motor (CEO Lee Yoo-il;www.smotor.com/en), part of the Mahindra Group, announced on Oct. 16, 2014 that it sold 16,279 units in the domestic market and 15,733 units (including CKD) in exports totaling to 32,012 units in Q3, recording revenue of 767.8 billion won, operating loss of 28.3 billion won, and a net current loss of 15.6 billion won.

The Q3 results show a bigger loss despite strong sales in the domestic market as the export volume dropped in the major overseas market on account of foreign exchange decline that sales and revenue declined by 7.4% and 8.3% respectively compared to same period last year.

However, on a year to date basis, sales grew by 2.1% over same period last year due to growth in domestic sales, which made up for the decline in exports.

In particular, domestic sales was driven by strong sales of Korando Sports, which increased by 42.9% compared to same period last year on account of growing demand for leisure vehicles. Domestic sales increased by 6% compared to same period last year and 10.9% on a year to date basis.

Exports decreased by 18.2% compared to same period last year due to volume decline in some of the major overseas markets. However, exports to other markets such as to China and to Europe grew so that the overall exports decline was contained to 4.5%.

This is a result of the Company’s efforts to diversify its overseas markets, especially by focusing on China and Europe to cope with volume decline in other major markets. The sales grew by 78.7% and 42.6% in China and in Europe respectively.

However, despite such efforts, due to adverse factors such as a decline in the foreign exchange rate leading to revenue loss as well as an increase in the selling expense and ordinary wage related cost, the company incurred a bigger operating loss and net current loss of 28.3 billion won and 15.6 billion won compared to same period last year.

Meanwhile, Ssangyong will continue with its vigorous marketing strategy to expand its global sales and enter new markets along with efforts for cost reduction, gearing up for future changes in the markets.

CEO Lee of Ssangyong Motor said that “despite the volume decline in our major export markets, the Company was able to maintain an overall sales growth trend thanks to strong performance in the domestic market,” and added that “by diversifying our markets, we will expand our global sales and also enhance our competitiveness by improving productivity to increase our profitability.”