▪ Despite steady sales growth in Korean market, sales decrease 2.2 percent YoY due to drop in export sales
▪ Launch of premium large SUV Rexton boosts sales 5.9 percent, while its operating loss widens due to higher depreciation
▪ SsangYong to expand sales based on domestic sales growth and Rexon's global launch
SsangYong Motor Company (CEO Choi Johng-sik; www.smotor.com/en) announced that the company has sold 36,306 units, posted revenue of 900.7 billion won, an operating loss of 17.4 billion won, and a net loss of 17.7 billion won for the third quarter of 2017.
Despite a 2.2 percent drop in sales due to declining export volume, the introduction of the Rexton has pushed up the revenue by 5.9 percent. However, the operating loss has widened from the same period last year resulting from higher depreciation.
The company has seen its sales volume growing for three consecutive months in the domestic market, gaining momentum after the launch of new models such as the face-lifted Tivoli and Rexton. SsangYong's domestic sales have grown 13.5 percent compared to the same period last year, putting the company in third place in Korea last month for the first time since the establishment of the company.
Exports have dropped 28.4 percent from the same period last year due to the global market downturn. However, exports are now in moderate recovery with the shipping of Rexton.
Revenues have grown 5.9 percent from the same period last year with the launch of Rexton, a premium large SUV, despite falling sales volume. However, the increase in depreciation widened the operating loss to 17.4 billion won.
Domestic sales are steadily on the rise helped by the launch of new cars, and exports are on the recovery track with the global launch of the Rexton, which will increase overall sales volume and reduce the operating losses.
Choi Johng-sik, CEO of SsangYong Motor, commented, "Increase in sales of new models including the Tivoli and Rexton are contributing to improve sluggish sales," adding, "We will increase our sales volume by focusing on the Rexton's global sales as well as sales growth in the domestic market."