Ssangyong Motor, Q1 Sales of 714 Billion KRW... "Largest Since Q4 2020"

[Image source=Yonhap News]

[Asia Economy Reporter Hyunseok Yoo] Ssangyong Motor announced on the 16th that its sales in the first quarter reached 714 billion KRW, a 33.26% increase compared to the same period last year. Operating loss and net loss for the period were 30.9 billion KRW and 31.6 billion KRW respectively, showing significant improvement from the same period last year.

This performance is attributed to the overall sales recovery driven by the strong performance of the New Rexton Sports & Khan and the cost reduction effects from continuous self-help efforts, which greatly reduced the scale of losses.

Ssangyong Motor sold 23,278 units in the first quarter. Despite parts supply constraints, this represents a 25% increase compared to the same period last year. It has shown a clear recovery trend, recording an increase for four consecutive quarters since the first quarter of last year (18,619 units).

Supported by the sales growth, sales revenue also recorded an increase for four consecutive quarters since 535.8 billion KRW in the first quarter of last year. This is the highest quarterly sales since the fourth quarter of 2020 (888.2 billion KRW). Profit and loss also improved as sales and revenue recovered, with operating loss improving by more than 60% compared to -84.7 billion KRW in the first quarter of last year.

The scale of operating loss is the lowest for the first quarter since the first quarter of 2019 (-27.8 billion KRW), before Ssangyong Motor entered rehabilitation proceedings. It is judged that the effects of self-help efforts so far are beginning to appear in earnest.

With the strong performance of the New Rexton Sports & Khan, Ssangyong Motor expects continuous sales growth as export order volumes are also increasing, and there are still more than 10,000 units pending delivery. Once parts supply improves, sales are expected to continue to rise.

Ssangyong Motor stated, “Along with the sales recovery trend and cost reduction effects from self-help efforts, the financial structure is gradually improving,” adding, “We will not only resolve the delivery backlog but also accelerate financial structure improvement through the successful launch of the J100, expanding sales further.”

This content was produced with the assistance of AI translation services.