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@NEWS
Proton Set To Regain Pole Position Again, Says Vendors
By Tengku Noor Shamsiah Tengku Abdullah
PUTRAJAYA, May 28 (Bernama) -- The future of Proton Holdings Bhd looks good for its stakeholders as the national carmaker is set to regain its rightful place as the number one national car soon.
Proton Vendors Association president, Dr Wan Mohamed Wan Embong, said the one-million dollar question is, "Can Proton sell that many cars?"
He said total industry volume (TIV) this year has been projected at about 510,000 units (by Malaysia Automotive Association) and 525,000 units (Frank and Sullivan).
"For argument's sake, let's assume the volume is 520,000 units. Commercial vehicles would normally account for about 30 percent of the TIV and the balance, passenger cars, for about 356,000 units.
"I believe Proton can regain the number one position with about 40 to 42.5 percent market share of the domestic passenger car market, i.e. about 150,000 units, or 37,5000 units per quarter, in 2008," he told Bernama.
He said this was a conservative estimate as recent reports showed that Proton sold 40,903 units and 36,654 units in the fourth and third quarter of its 2007/2008 financial years respectively.
Dr Wan Mohamed said Proton planned to export about 55,000 units to emerging or developing economies such as Asean, India, China, Middle East, North Africa and even Russia.
Proton managing director, Datuk Syed Zainal Abidin Syed Mohamed Tahir, has been reported to be excited with the preliminary discussions where more than 200,000 units/year of SAGA were needed by these developing economies where Proton cars met their quality, cost, delivery and engineering (QCDE) expectations.
"We therefore conclude that the future looks good for the stakeholders, especially with the impending introduction of the multi-purpose vehicles, replacements and facelifts of existing models.
"But above all, and the most important undertaking, is the continuous improvement of its QCDE programme that has been implemented by both Proton and its parts suppliers," he said.
He said although Proton's plan to produce and sell 300,000 units in 2011 and one million units by 2016 may be considered ambitions, "we opined it is achievable."
"This is because the Proton management is understood to be seriously working with global players in specific areas such as engineering, production, branding and markeing to achieve its plan," he said.
Commending Proton for successfully turning around the company in its 2007/2008 financial year (FY), Wan Mohamed said: "We did not anticipate it to happen so quickly."
Proton's registered a pre-tax profit of RM162.218 million for financial year ended March 31, 2008, a RM780 million improvement when compared to a pre-tax loss of RM618.129 million in the previous year.
Revenue rose to RM5.628 billion compared with RM4.911 billion previously.
He said a manufacturing company would normally take about three years to return to profitablity.
"Proton's sales between 2006 and mid-2007 spiralled downwards and customers complained about the car's quality," he said.
Dr Wan Mohamed said Proton's new management under Syed Zainal has painstakingly tackled the problems head-on and had produced two new models.
"The two models -- Persona and new SAGA -- are winning back the domestic customers.
"Confirmed bookings and delivery have exceeded expectations at 45,000 units and 55,000 units respectively since their launches in August 2007 and January 2008 respectively," he said.
-- BERNAMA
, if strategists at BMW Welt has any long term plan that has the L.... brand fitting into the plan. On 2nd thought, nah, just go straight for that L brand perhaps it may be sold at EU1.00. Anything can happen ya...
